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New Day Spa services 570 clients

Price: $1.99


In the month of March, New Day Spa services 570 clients at an average price of $120.
During the month, fixed costs were $21,000 and variable costs were 65% of sales.

Instructions
(a) Determine the contribution margin in dollars, per unit, and as a ratio.
(b) Using the contribution margin technique, compute the break-even point in dollars and in units.

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