Digital Cellular Sells Phones for $100

question 115

Essay

Digital Cellular sells phones for $100.The unit variable cost per phone is $50 plus a selling commission of 10%.Fixed manufacturing costs total $1,250 per month,while fixed selling and administrative costs total $2,500.
Required:
a.What is the contribution margin per phone?
b.What is the breakeven point in phones?
c.How many phones must be sold to earn pretax income of $7,500?

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Definitions:

Presence

The state of being fully engaged and attentive in the current moment, often emphasized as crucial in therapeutic and counseling settings.

Self-Realization

The process of achieving one's full potential and recognizing and manifesting one's true self and capabilities.

Awareness

The state or ability to perceive, feel, or be conscious of events, objects, thoughts, emotions, or sensory patterns.

Emotional Regulation

The process by which individuals influence which emotions they have, when they have them, and how they experience and express these emotions.