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[1] A manufacturer plans to introduce a new type of shirt based on the followinginformation.The selling price is $35.00; variable cost per unit is $15.00;
[1] A manufacturer plans to introduce a new type of shirt based on the followinginformation.The selling price is $35.00; variable cost per unit is $15.00; fixed costs are $8200.00; andcapacity per period is 740 units.
a) Calculate the break-even point
(i) in units
(ii) in dollars (iii) as a percent of capacity b) Draw a detailed break-even chart. c) Calculate the break-even point (in units) if fixed costs are reduced to $7000.00d) Calculate the break-even point (in dollars) if the selling price is increased to$40.00
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