In the month of March Ayayai Salon services 550 clients at a

In the month of March, Ayayai Salon services 550 clients at an average price of $160. During the month, fixed costs were $35,200 and variable costs were 60% of sales.

(a)

(b)

In the month of March, Ayayai Salon services 550 clients at an average price of $160. During the month, fixed costs were $35,200 and variable costs were 60% of sales.

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(b) Break-even sales = Fixed Cost / Contribution Margin Ratio

= $ 35,200 / 40%

= $ 88,000

Break-even sales =

Fixed Cost / Contribution Margin Per unit

= $ 35,200 / $ 64

= 550 Units

Hence, the correct answer is :

Break-even sales		$	88,000
Break-even sales		550	units

In the month of March, Ayayai Salon services 550 clients at an average price of $160. During the month, fixed costs were $35,200 and variable costs were 60% of

In the month of March Ayayai Salon services 550 clients at a

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