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2. Heavener Company produces and sells storage sheds. Its current sales are $500,000. The company' accountant provided the following cost information: Manufacturing costs Selling costs
2. Heavener Company produces and sells storage sheds. Its current sales are $500,000. The company' accountant provided the following cost information: Manufacturing costs Selling costs Administrative costs $100,000 + 40% of sales $30,000 + 10of sales S45,000 + 10% of sales Required: 1) Compute the product's contribution margin ratio. What does the term break-even point mean? Name the two ways it can be measured. Giv example of a company using break-even with a product/service
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