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Homework answers / question archive / Exercise 6-2 (Video) In the month of June, Jose Hebert’s Beauty Salon gave 4,125 haircuts, shampoos, and permanents at an average price of $40

In the month of June, Jose Hebert’s Beauty Salon gave 4,125 haircuts, shampoos, and permanents at an average price of $40. During the month, fixed costs were $16,500 and variable costs were 75% of sales.

Determine the contribution margin in dollars, per unit and as a ratio. **(Round contribution margin and contribution margin per unit to 2 decimal places, e.g. 5.75.)**

Using the contribution margin technique, compute the break-even point in dollars and in units.

Compute the margin of safety in dollars and as a ratio.

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