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2. Assume fixed costs of $1 million, direct unit/variable costs of $11.50 per bottle, and an average selling price of $28.00 per bottle (disregard the
2. Assume fixed costs of $1 million, direct unit/variable costs of $11.50 per bottle, and an average selling price of $28.00 per bottle (disregard the markups in #1). Also assume a manufacturing capacity of 16,000 cases per year. There are 12 bottles per case. (a) What is the break-even point? (b) When can Stuart break even considering its capacity
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