Question

Prepare a breakeven analysis for the following example: David Falk, the vice president of business development,...

Prepare a breakeven analysis for the following example: David Falk, the vice
president of business development, wants to determine the breakeven point for
the company's gift card product. The analysis will help David determine the
possibility of incurring a loss for the product. The company will sell the product for
$200 per customer. Variable costs are estimated to be $185,000 per month,
composed of $95,000 for producing the product and $65,000 for fixed selling and
administrative costs. How many units must be sold to break even?

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