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Contribution Income Analysis

Use this spreadsheet to prepare a contribution margin income statement. The contribution margin is found by subtracting all variable costs from revenue (sales). Shaded cells have formulas…careful! After you enter your numbers check the Break-Even Chart below.
Price Per Unit $7.26
Number of Units Sold 10000
Total Sales $72,600 100%
Less: Variable Production Costs $31,040 43%
Less: Variable Selling Costs $18,480 25%
Total Variable Costs $49,520 68% $4.95   Per Unit
Contribution Margin $23,080 32%
Less: Fixed Production Costs $13,050 18%
Less: Fixed Selling and Administrative Costs $4,820 7%
Total Fixed Costs $17,870 25% $1.79   Per Unit
Income Before Taxes $5,210 7% $0.52   Per Unit
Break-Even Analysis Chart
Break-Even Point (units) = 7,743 Break-Even Point ($'s) = $56,212
Total Fixed Costs (TFC) = $17,870 Formulas:
Variable Cost per Unit (VCU) = $4.95 BEP (units) = TFC/(SPU-VCU)
Sales Price per Unit (SPU) = $7.26 BEP ($'s) = BEP (units) * SPU

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