41 if the selling price per unit of a product is 50 variable costs per unit are 40 a 4309568

41) If the selling price per unit of a product is $50, variable costs per unit are $40, and total fixed costs are $50,000, a company must sell 6,000 units to make a target operating income of $10,000.

42) Gilley, Inc., sells a single product. The company's most recent income statement is given below.

Sales (4,000 units)$120,000

Less variable expenses(68,000)

Contribution margin52,000

Less fixed expenses(40,000)

Net income$ 12,000

Required:

 

a.Contribution margin per unit is$ ________ per unit

b.If sales are doubled to $240,000,

total variable costs will equal$ ________

c.If sales are doubled to $240,000,

total fixed costs will equal$ ________

d.If 10 more units are sold, profits will increase by$ ________

e.Compute how many units must be sold to break even.# ________

f.Compute how many units must be sold

to achieve profits of $20,000.# ________

43) Black Pearl, Inc., sells a single product. The company's most recent income statement is given below.

Sales$50,000

Less variable expenses(30,000)

Contribution margin20,000

Less fixed expenses(12,500)

Net income$ 7,500

 

Required:

 

a.Contribution margin ratio is________ %

b.Breakeven point in total sales dollars is$ ________

c.To achieve $40,000 in net income, sales must total$ ________

d.If