Cabrera Enterprises, a company that produces and sells a single product hasprovided its contribution format income statement:Sales (52,500 units)1,995,000Variable Expenses1,181,250Contribution Margin813,750Fixed Expenses697,200116,550Net Operating IncomeTo reach a target profit of $200,000, how many units need to be sold? (round to thenearest whole unit)

Solution: Contribution margin per unit = Contribution margin / Nos of units = $813,750 / 52500 =…

Cabrera Enterprises, a company that produces and sells a single product has provided its contribution format income statement: Sales (52,500 units) Variable Expenses %$4 1,995,000 1,181,250 813,750 Contribution Margin Fixed Expenses 697,200 Net Operating Income 116,550 To reach a target profit of $200,000, how many units need to be sold? (round to the nearest whole unit)

Cabrera Enterprises, a company that produces and sells a single product has provided its contribution format income statement: Sales (52,500 units) Variable Expenses %$4 1,995,000 1,181,250 813,750 Contribution Margin Fixed Expenses 697,200 Net Operating Income 116,550 To reach a target profit of $200,000, how many units need to be sold? (round to the nearest whole unit)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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