Mauro Products distributes a single product, a scarf; its selling price is $ I 5 and its

Question:

Mauro Products distributes a single product, a scarf; its selling price is $ I 5 and its variable cost is $12 per unit. The company's monthly fixed expense is $4,200. 


Required:

1. Solve for the company's break-even point in unit sales.

2. Solve for the company's break-even point in sales dollars.

3. If Mauro Products decides to drop it~ selling price to $14 with no change to the variable cost per unit or fixed expenses, what will be the new break-even point in unit sales?

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Related Book For  book-img-for-question

Managerial Accounting

ISBN: 9781259275814

11th Canadian Edition

Authors: Ray H Garrison, Alan Webb, Theresa Libby

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