Portal Manufacturing Has Total Fixed Costs of $520,000

question 212

Essay

Portal Manufacturing has total fixed costs of $520,000. A unit of product sells for $15 and variable costs per unit are $11.
a) Prepare a contribution margin income statement showing predicted net income (loss) if Portal sells 100,000 units for the year ended December 31.
b) At a minimum, how many units must Portal sell in order not to incur a loss?

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Definitions:

Brain Imaging

Techniques and processes used to create visual representations of the brain's structure and function for medical and research purposes.

Operant Conditioning

Learning procedure in which the consequences (such as obtaining a reward) of a particular behavior (such as pressing a bar) increase or decrease the probability of the behavior occurring again; also called instrumental conditioning.

Reward Good Behavior

The process of positively reinforcing desired actions or conduct by offering incentives or praise, often used in training and behavior modification.

Extra Recess

Additional break time given to students during the school day, beyond the regular scheduled recess, for physical activity, relaxation, or social interaction.