Yamakawa Corporation produces and sells a single product. Data concerning that product appear below: Selling price per unit$200.00Variable expense per unit$64.00Fixed expense per month$670,480 Required: Determine the monthly break-even in unit sales.
What will be an ideal response?
| Selling price per unit | $ | 200.00 |
| Variable expense per unit | 64.00 | |
| Contribution margin per unit | $ | 136.00 |
Unit sales to break even = Fixed expenses ÷ Unit CM
= $670,480 ÷ $136 per unit = 4,930 units
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