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12 12) Jarvis Company preoduces a product that has a selling price of $20.00 and a variable cost of S15.00 per unit. The company's fixed

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12 12) Jarvis Company preoduces a product that has a selling price of $20.00 and a variable cost of S15.00 per unit. The company's fixed costs are $50,000. What is the break-even point measured in sales dollars? A) S150,000 B) $62,500 c)S100,000 D) $200,000 13) Select the Incorrect break-even equation from the following A) Total contribution margin-total variable costs B) Total fixed costs+ contribution margin ratio = break-even sales in dollars C) Total revenue total costs D) Total contribution margin total fixed costs 13 14) Once sales reach the break-even point, cach additional unit sold will: A) increase fixed cost by a proportionate amount. B) increase the company's operating leverage. C) reduce the margin of safety D) increase profit by an amount equal to the per unit contribution margin 14) 15 15) Cost objects may be: A) Departments. C) Services B) Products D) All of the answers are correct

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