M company is a manufactory which produces toys．The budgeted production and sales of the company are both expected to be 200 units in the coming year，the budgemd selling price is$370 per unit．The following information mimes to the costs of producin9 200 toys：
Per unit(＄)
Total(＄)
Direct material costs
l 50
30 000
Direct labor costs
80
1 6 000
Variable production overheads
50
1 0 000
Variable selling and administration overheads
30
6 000
Fixed production overheads
6 000
Fixed selling and administration overheads
3 000
Requirement：
A．Calculate the total contribution margin．
B．Calculate the amounts of profit at the budgeted level of production．
C．Calculate the break-even point in units and the margin of safety．
D．If M company desires a profit of$4 800，calculate the number of units that it must produce and sell．
正确答案：A.Total contribution margin=370×200-(150+80+50+30) ×200=370×200-310×200 =12000 B.The amounts of profit at the budgeted level of production=12000-(6000+3000)=3000 C.Break-even point in units=(6000+3000)/(370-310)=150 The margin of safety=200-150=50 D.
