Thomas Train has collected the following information over the last six months.

Month Units produced           Total costs

March 10,000                         $25,600

April 12,000                            26,200

May 19,800                            29,600

June 13,000                           26,450

July 12,000                            26,000

August 15,000                       26,500

Using the high-low method, what is the variable cost per unit? Your Answer:

Winny's Office Furniture has a contribution margin ratio of 16%. If fixed costs are $178,300, how many dollars of revenue must the company generate in order to reach the break-even point?

Assume Sparkle Co. expects to sell 150 units next month. The unit sales price is $100, unit variable cost is $30, and the fixed costs per month are $5,000. The margin of safety is: