10)

Atlantic Company sells a product with a break-even point of 4,664 sales units. The variable cost is $93 per unit, and fixed costs are $153,912. Determine the following:

a. Unit sales price	$
b. Break-even point in sales units if the company desires a target profit of $33,858		units

9)

Which of the following graphs in Figure 1 illustrates the behavior of a total variable cost?

a.Graph 3

b.Graph 2

c.Graph 1

d.Graph 4

8)

Adirondack Marketing Inc. manufactures two products, A and B. Presently, the company uses a single plantwide factory overhead rate for allocating overhead to products. However, management is considering moving to a multiple department rate system for allocating overhead.

	Overhead		Total Direct Labor Hours		DLH per Product
					A	B
Painting Dept.	$257,100		11,600		2	5
Finishing Dept.	75,500		11,900		3	9
Totals	$332,600		23,500		5	14

The single plantwide factory overhead rate for Adirondack Marketing Inc. is

a.$14.15 per dlh

b.$22.16 per dlh

c.$3.80 per dlh

d.$6.34 per dlh