Hermosa Inc produces one model of mountain bike Partial info

Hermosa, Inc., produces one model of mountain bike. Partial information for the company follows:

Required:
1. Complete the table. (Round your \"Cost per Unit\" answers to 2 decimal places.)

2. Calculate Hermosa’s contribution margin ratio and its total contribution margin at each sales level indicated in the table assuming the company sells each bike for $780. (Round your percentage answers to 2 decimal places. (i.e. .1234 should be entered as 12.34%.))

4. Calculate Hermosa’s break-even point in units and sales revenue. (Round your answers to the nearest whole number.)


Number of bikes produced and sold		530		840		900
Total costs
Variable costs	$	126,140	$	?	$	?
Fixed costs per year		?		?		?
Total costs		?		?		?
Cost per unit
Variable cost per unit		?		?		?
Fixed cost per unit		?		?		?
Total cost per unit		?	$	530.75		?

1. Complete the table. (Round your \"Cost per Unit\" answers to 2 decimal places.)

Calculate Hermosa’s contribution margin ratio and its total contribution margin at each sales level indicated in the table assuming the company sells each bike for $780.

Answer is 69.49%

Calculate Hermosa’s break-even point in units and sales revenue.

Number of bikes produced and sold	530	840	900
Total costs
Variable costs	126,140	199920	214200
Fixed costs per year	245910	245910	245910
Total costs	372,050	445,830	460,110
Cost per unit
Variable cost per unit	238	238	238
Fixed cost per unit	463.98	292.75	273.23
Total cost per unit	701.98	530.75	511.23

$Hermosa, Inc., produces one model of mountain bike. Partial information for the company follows: Required: 1. Complete the table. (Round your \$

Hermosa Inc produces one model of mountain bike Partial info

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