HUDSON CO. Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (10,700 units at $300 each) $ 3,210,000 Variable costs (10,700 units at $240 each) 2,568,000 Contribution margin $ 642,000 Fixed costs 504,000 Pretax income $ 138,000
If the company raises its selling price to $320 per unit.
1. Compute Hudson Co.'s contribution margin per unit.
2. Compute Hudson Co.'s contribution margin ratio.
3. Compute Hudson Co.'s break-even point in units.
4. Compute Hudson Co.'s break-even point in sales dollars.
1. Contribution margin per unit
2. Contribution margin ratio %
3. Break-even point units
4. Break-even sales dollars
Answers: 3
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HUDSON CO. Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (10,700 units...
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