In the Month of April Avante Salon Gave 2500 Haircuts

question 36

Essay

In the month of April Avante Salon gave 2500 haircuts shampoos and permanents at an average price of $40. During the month fixed costs were $20000 and variable costs were 75% of sales.
Instructions
(a) Determine the contribution margin in dollars per unit and as a ratio.
(b) Using the contribution margin technique compute the break-even point in dollars and in units.
(c) Compute the margin of safety dollars and as a ratio.

Recognize the importance of environmental indicators and their role in assessing quality of life and environmental health.

Understand external and internal costs associated with economic activities and their impact on sustainability and policy making.

Comprehend the implications of economic growth on the environment and society.

Identify strategies for achieving ecologically sustainable development.

---

Definitions:

Shopping Products

Goods that consumers purchase after comparing quality, price, and style from various sellers, spending considerable time and effort to make the best decision.

Business Products

Goods or services that are sold to other businesses for further production, use in operations, or resale.

Convenience Products

Consumer goods or services that are widely available and can be purchased with minimal effort.

Shopping Product

Item typically purchased only after the buyer has compared competing products in competing stores.