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Manal Elkhoshkhany, Tutor
Category: Finance
Satisfied Customers: 9724
Experience:  More than 5000 online tutoring sessions.
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# Bozeman Corporation manufactures a single product. Monthly

### Resolved Question:

Bozeman Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below for the production of 3,400 units. The utilities and maintenance costs are mixed costs.The fixed portions of these costs are \$430 and \$372, respectively.

Production in Units 3,400
Production Costs
Direct materials \$7,493
Direct labor 14,998
Utilities 1,892
Property taxes 1,009
Indirect labor 7,803
Supervisory salaries 1,751
Maintenance 1,188
Depreciation 2,449

Direct materials Variable

Direct labor Variable

Utilities Mixed

Property taxes Fixed

Indirect labor Variable

Supervisory salaries Fixed

Maintenance Mixed

Depreciation Fixed

Calculate the expected costs when production is 5,000 units. (Round intermediate calculations to 2 decimal places, e.g. 12.25. Round answer to 0 decimal places, e.g. 125.)

2. In the month of March, New Day Spa services 632 clients at an average price of \$280. During the month, fixed costs were \$57,792 and variable costs were 60% of sales.
Contribution margin in dollars
Contribution margin per unit
Contribution margin ratio
Using the contribution margin technique, compute the break-even point in dollars and in units.
Break-even point in dollars
Break-even point in units
I have \$176960 for the Contribution margin. I have tried several times and cannot come up with the correct answer. Please show the work for these two problems.
Submitted: 4 years ago.
Category: Finance
Expert:  Manal Elkhoshkhany replied 4 years ago.

Hello and welcome to JA

Thank you

Customer: replied 4 years ago.
Monday night

Thank You :)
Expert:  Manal Elkhoshkhany replied 4 years ago.

Hi

Here you go. Please click on the following link for the solutions:

http://www.box.net/shared/kveh6jt3dm298a6zisdg

P.S. If you like my services, please feel free to direct your future posts to me specifically by typing "For BusinessTutor" at the beginning of your post. Should you choose to do this, please try to allow me 48 hours before the deadline. If you need to meet me online for a timed assignment, please advise me of the date and time (EST) you want me to meet you here and I will. Please make sure you take the length (and number) of the questions into consideration when making your offer to avoid delays in providing solutions.

Thank you

Manal Elkhoshkhany, Tutor
Category: Finance
Satisfied Customers: 9724
Experience: More than 5000 online tutoring sessions.

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