1S-14B. (Break-even point and selling price) Thomas Appliances will manufacmre and sell 190,000 units next year. Fixed

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1S-14B. (Break-even point and selling price) Thomas Appliances will manufacmre and sell 190,000 units next year. Fixed costs will total $300,000, and variable costs will be 75 percent of sales.

a.ı The firm wants to achieve an earnings before interest and taxes level of$250,000. What selling price per unit is necessary to achieve this result?

b. Set up an analytical income statement to verify your solution to part (a).

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Financial Management Principles And Applications

ISBN: 9780131450653

10th Edition

Authors: Arthur J. Keown, J. William Petty, John D. Martin, Jr. Scott, David F.

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