Kent Manufacturing produces a product that sells for $57.00 and has variable costs of $34.00 per unit. Fixed costs are $253,000. Kent can buy a new production machine that will increase fixed costs by $24,200 per year, but will decrease variable costs by $5.00 per unit. Compute the contribution margin per unit if the machine is purchased.

See below

Explanation:

Computation of the contribution margin per unit is shown below;

Contribution margin per unit = Selling price per unit - Variable cost per unit

Where,

Selling price per unit = $57

Variable cost per unit = $34 - $5 = $29

Then,

Contribution margin per unit = $57 - $29

Contribution margin per unit = $28 per unit.

Therefore, the contribution margin per unit if the machine is purchased is $28 per unit

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.

answer; the cpi;