Franklin’s Junto Club began in 1727 and initiated the first lending library, among other public services. 

Q201

  Bryan Inc. makes a product that sells for $150 per unit. The company’s costs are as following: Variable manufacturing costs $60 per unit Variable selling expenses $21 per unit Total fixed manufacturing costs $100,000 allocated to 10,000 units produced Total fixed selling & administrative expenses $200,000 allocated to 10,000 units produced Calculate the contribution margin per unit.

In class we compared the total cost of living alone versus with 1 or 2 roommates.  Which of the following is a true statement about that comparison?

When a company structures their costs as mostly fixed costs and very few variable costs, a large increase in sales revenue will result in:

Bryan Inc. sells a product for $50 per unit. Variable costs are $30 per unit, and total fixed costs are $20,000. How many units must the company sell to earn a profit of $10,000?

What type of cost stays the same per unit, even when activity levels change?  

When you are completely done with your exam please rip up your scratch paper if you used one. You can KEEP your notes page.  Speak your name one more time.   Thank you and have a great rest of your day!    

  Bryan Inc. makes a product that sells for $150 per unit. The company’s costs are as following: Variable manufacturing costs $60 per unit Variable selling expenses $21 per unit Total fixed manufacturing costs $100,000 allocated to 10,000 units produced Total fixed selling & administrative expenses $200,000 allocated to 10,000 units produced Calculate the contribution margin per unit.