Last year,Twins Company reported $750,000 in sales (25,000 units) and an operating income of $25,000.At the break-even point,the company's total contribution margin equals $500,000.Based on this information,which of the following statements is true?
A) The company's contribution margin ratio is 40%.
B) The company's break-even point is 24,000 units.
C) The company's variable expense per unit is $9.
D) The company's variable expenses are 60% of sales.
Correct Answer:
Verified
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