4. The formula in computing breakeven point per unit is to * Deduct margin of safety from budgeted sales. Divide total fixed costs by contribution margin ratio. Divide total fixed costs by contribution margin per unit. O None of the choices.

4. The formula in computing breakeven point per unit is to * Deduct margin of safety from budgeted sales. Divide total fixed costs by contribution margin ratio. Divide total fixed costs by contribution margin per unit. O None of the choices.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter5: Investment Decisions: Look Ahead And Reason Back

Section: Chapter Questions

Problem 5.1IP

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Question

4. The formula in computing breakeven
point per unit is to *
Deduct margin of safety from budgeted
sales.
Divide total fixed costs by contribution
margin ratio.
Divide total fixed costs by contribution
margin per unit.
None of the choices.

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