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Break-Even Point and Target Profit Measured in Units {Single Product]. Nellie Company hasmonthly fixed costs totaling $100,000 and variable costs of 520 per unit. Each unit of product is soldfor $25. Required:1 Calculate the contribution margin per unitFind the break-even point in unitsHow many units must be sold to earn a monthly profit of 540,000?Calculate the contribution margin ratioFind the break-even point in sales dollarsWhat amount of sales dollars is required to earn a monthly profit of $60,000? mmhwu Assume Nellie Company expects to sell 24,000 units of product this coming month.7 Find the margin of safety in units8 Find the margin of safety in sales dollars Hint: this follows the “Lecture file” pretty closely (look at that for help with formulas, if needed 1 Contribution Margin Per unit Note: Only the ‘ffinal answer” on this sl SalesLess VariableContribution Margin Per unit Profit x Q) – F“-‘_ 3 ‘Fréfitflfim ‘mimfie’Profit ll 5 _ V J x – Xx _X 4 CM Ratio SalesLess Variable Profit = CM Ratio 3: S – FX
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