Break-Even Sales
Currently, the unit selling price of a product is $320, the unit variable cost is $260, and the total fixed costs are $810,000. A proposal is being evaluated to increase the unit selling price to $350.
a. Compute the current break-even sales
(units).
units
b. Compute the anticipated break-even sales
(units), assuming that the unit selling price is increased and all
costs remain constant.
units
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