lotus777
Jan 12, 2009, 09:15 AM
I am trying to calculate the variable cost per unit.
Here SR = Sales Revenue
In this problem I know
SR 25,000 Canadian dollars
Operating profit 10,000 Canadian dollars
Units of service 500 units
I have:
Sales price per unit as 25,000 divided by 500 units
I have:
Total costs as: TC = Total sales revenue - Operating Profit
Then i can't sort out how to do variable costs. I know TC = Total Variable costs + Total fixed costs.
But then my brain shuts down.:-)
Here SR = Sales Revenue
In this problem I know
SR 25,000 Canadian dollars
Operating profit 10,000 Canadian dollars
Units of service 500 units
I have:
Sales price per unit as 25,000 divided by 500 units
I have:
Total costs as: TC = Total sales revenue - Operating Profit
Then i can't sort out how to do variable costs. I know TC = Total Variable costs + Total fixed costs.
But then my brain shuts down.:-)





