in the month of march style salon sevices 560 clients at an average price of 120 dur 507219
In the month of March, Style Salon services 560 clients at an average price of $120. During the month, fixed costs were $21,024 and variable costs were 60% of sales.
(a) Determine the contribution margin in dollars, per unit, and as a ratio.
| Contribution margin |
$ |
||
| Contribution margin per unit |
$ |
||
| Contribution margin ratio |
|
% |
(b) Using the contribution margin technique, compute the break-even point in dollars and in units.
| Break-even sales |
$ |
||
| Break-even sales |
|
units |
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