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Argosy University/ Phoniex University/
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Contribution Margin Income statement and Breakeven Analysis
e6A. Using the data in the contribution margin income statement for Broadway, Inc., that follows, calculate (a) selling price per unit, (b) variable costs per unit, and (c) break- even point in units and in sales dollars.
Broadway, Inc.
Contribution Margin Income statement For the year ended December 31
Â
Â
|
Sales (20,000 units) Less variable costs: Cost of goods sold |
   $8,000,000 |
 |
$16,000,000 |
|
Selling, administrative, and general |
4,000,000 |
 |
 |
|
Total variable costs |
 |
 |
12,000,000 |
|
Contribution margin Less fixed costs: Overhead |
  $1,200,000 |
 |
$ Â 4,000,000 |
|
Selling, administrative, and general |
800,000 |
 |
 |
|
Total fixed costs |
 |
 |
2,000,000 |
|
Operating income |
 |
 |
$ Â |
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