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1)Presented below is the income statement of KA Corp. Sales $6,000,000 Less: Cost of goods sold 3,400,000 Gross margin $2,600,000 Less: Operating expenses 1,700,000 Net
1)Presented below is the income statement of KA Corp.
Sales
$6,000,000
Less: Cost of goods sold
3,400,000
Gross margin
$2,600,000
Less: Operating expenses
1,700,000
Net income
$900,000
Cost of goods sold consists of $2,400,000 of variable costs and $1,000,000 of fixed costs.
Operating expenses consist of $900,000 of variable costs and $800,000 of fixed costs.
What is the break-even pointin dollars?
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