DEF Corporation breaks even at P60,000 sales and earns P6,000 at P70,000 sales. Which of the following is true? Group of answer choices -Profit at sales of P80,000 would be P16,000. -The selling price per unit is P6. -The selling price per unit is P5. -Fixed costs are P4,000. -Contribution margin is 60% of sales. -Contribution margin is 50% of sales.
DEF Corporation breaks even at P60,000 sales and earns P6,000 at P70,000 sales. Which of the following is true? Group of answer choices -Profit at sales of P80,000 would be P16,000. -The selling price per unit is P6. -The selling price per unit is P5. -Fixed costs are P4,000. -Contribution margin is 60% of sales. -Contribution margin is 50% of sales.
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 7BE: Margin of safety Jorgensen Company has sales of 380,000,000, and the break-even point in sales...
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Question
DEF Corporation breaks even at P60,000 sales and earns P6,000 at P70,000 sales. Which of the following is true?
Group of answer choices
-Profit at sales of P80,000 would be P16,000.
-The selling price per unit is P6.
-The selling price per unit is P5.
-Fixed costs are P4,000.
-Contribution margin is 60% of sales.
-Contribution margin is 50% of sales.
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