The company sold 10,000 units for total sales of $120,000, with a variable cost per unit of $10.45 and selling price of $12 per unit, resulting in a contribution of $15,500. However, fixed costs of $25,000 resulted in income before tax of -$9,500. With a 10% tax rate and $0 tax, the net income was -$9,500.
The company sold 10,000 units for total sales of $120,000, with a variable cost per unit of $10.45 and selling price of $12 per unit, resulting in a contribution of $15,500. However, fixed costs of $25,000 resulted in income before tax of -$9,500. With a 10% tax rate and $0 tax, the net income was -$9,500.
The company sold 10,000 units for total sales of $120,000, with a variable cost per unit of $10.45 and selling price of $12 per unit, resulting in a contribution of $15,500. However, fixed costs of $25,000 resulted in income before tax of -$9,500. With a 10% tax rate and $0 tax, the net income was -$9,500.