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    Case 5-32

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    Divyam Garg
    This document contains sales data for three products - Velcro, Metal, and Nylon. It calculates contribution margin, total contribution, break even point, and break even point by product after accounting for variable expenses and total fixed expenses of $400,000. The contribution margin ratio is 0.55 and the break even point across all products is $731,818.20 in total revenue. The document also calculates the individual break even points for each product after allocating total fixed expenses.

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    Case 5-32

    Uploaded by

    Divyam Garg
    4 views1 page
    This document contains sales data for three products - Velcro, Metal, and Nylon. It calculates contribution margin, total contribution, break even point, and break even point by product after accounting for variable expenses and total fixed expenses of $400,000. The contribution margin ratio is 0.55 and the break even point across all products is $731,818.20 in total revenue. The document also calculates the individual break even points for each product after allocating total fixed expenses.

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    case 5-32

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    This document contains sales data for three products - Velcro, Metal, and Nylon. It calculates contribution margin, total contribution, break even point, and break even point by product after accounting for variable expenses and total fixed expenses of $400,000. The contribution margin ratio is 0.55 and the break even point across all products is $731,818.20 in total revenue. The document also calculates the individual break even points for each product after allocating total fixed expenses.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    4 views1 page

    Case 5-32

    Uploaded by

    Divyam Garg
    This document contains sales data for three products - Velcro, Metal, and Nylon. It calculates contribution margin, total contribution, break even point, and break even point by product after accounting for variable expenses and total fixed expenses of $400,000. The contribution margin ratio is 0.55 and the break even point across all products is $731,818.20 in total revenue. The document also calculates the individual break even points for each product after allocating total fixed expenses.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    of 1

    Velcro Metal Nylon

    Annual sales volume 100000 200000 400000


    Unit selling price 1.65 1.5 0.85
    variable expense per unit 1.25 0.7 0.25

    total fixed expenses 400000

    1) Contribution margin
    Velcro 0.4 40000
    Metal 0.8 160000 sp-variable
    Nylon 0.6 240000
    440000

    total revenue 805000


    contribution margin ratio 0.55
    break even point 731818.2

    2)
    a) velcro metal nylon
    fixed expenses 20000 80000 60000
    cont per unit 0.4 0.8 0.6
    BEP 50000 100000 100000

    b)

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