Cove\'s Cakes is a local bakery. Price and cost information follows $ 14.11 Pric

Question

Cove's Cakes is a local bakery. Price and cost information follows $ 14.11 Price per cake Variable cost per cake Ingredients Direct labor Overhead (box, etc.) 217 1.03 0.13 $4,63540 Fixed cost per month Required 1. Determine Cove's break-even point in units and sales dollars. (Round your Break- Even Units answer to the nearest whole number. Round your other intermediate calculations and sales dollars answer to 2 decimal places.) Break Even UnitsCakes Break-Even Sales Dollars 2. Determine the bakery's margin of safety if it currently sells 520 cakes per month (Round your intermediate calculations to 2 decimals. Round the break-even units and final answer to nearest whole dollar.) of 3. Determine the number of cakes that Cove must sell to generate $1,300 in profit. (Round your intermediate calculations to 2 decimal places and final answer to nearest whole number.) Cakes

Explanation / Answer

3

Price per cake 14.11 Variable cost Per Cake Ingrediant 2.17 Direct Labor 1.03 Overhead 0.13 3.33 Contribution 10.78

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