The Peace Company has the following functional income statement for the prior month.
($50 * 100,000 units)
Cost of goods sold
Variable factory overhead
Fixed factory overhead
Selling and administrative expense
There were no beginning and ending inventories.
a. find out the contribution margin per unit.
b. find out the contribution margin ratio.
What is the break-even point in units?
What is the amount of sales in dollars needed to obtain a before-tax profit of $40,000?