Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. PC-Build, Inc. has the following fixed and variable costs and revenue for the first year of its business. Fixed Costs Item:s Office Inventory Advertising

image text in transcribed

1. PC-Build, Inc. has the following fixed and variable costs and revenue for the first year of its business. Fixed Costs Item:s Office Inventory Advertising Wages Phone Equipment Insurance Software Video Printing Cost (S) 6,000 15,000 50,000 80,000 3,000 4,300 8,000 8,700 5,500 4,500 2,700 Other The product has revenue of $920 per unit and variable cost of $550/unit. Using the data given above: a) Draw the breakeven chart and comment on the results from the breakeven analysis. b) Determine the breakeven quantity per year. c Calculate the annual profit if i) 2,000 units are sold and i) 3,600 units are sold. d) Calculate the number of units sold if the annual profit is: i) $800,000 and i) $1,200,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting An Introduction

Authors: Alex Watson, Jacqui Kew

5th Edition

0190425520, 978-0190425524

More Books

Students also viewed these Accounting questions

Question

Am I just skimming over the problem?

Answered: 1 week ago

Question

What is one of the skills required for independent learning?Explain

Answered: 1 week ago