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25. Jarvis Company produces a product that has a selling price of $20.00 and a variable cost of $15.00 per unit. The company's fixed costs
25. Jarvis Company produces a product that has a selling price of $20.00 and a variable cost of $15.00 per unit. The company's fixed costs are $50,000. What is the break-even point measured in sales dollars? A. $150,000 B. $200,000 C. $62,500 D. $100,000 PROBLEMS (5 Points Each) l. Zeus, Inc. produces a product that has a variable cost of $10.00 per unit. The company's fixed costs are $80,000. The product sells for $15.00 a unit and the company desires to earn a $40,000 profit. What s the volume of sales in units required to achieve the target profit? (Do not round intermediate calculations.) The Mansfield Company manufactures and sells two lines of fishing rods. During the most recent accounting period, the Pro line and the Novice line sold 15,000 and 2,000 units, respectively. The company's most recent financial statements are shown below ll. Pro NOVic Sales Less cost of goods sold: S 900,000 S 240,000 Unit-level production cost Depreciation, production equipment 600,000 35,000 50,000 S 175,000 S 55,000 125,000 Gross margin Less operating expenses: Unit-level selling and admin. Costs Corporate-level facility expenses (fixed) 40,000 36,000 65,000 36,000 99,000 (46,000) Net income (loss) Based on this information, should the com pany keep the Novice Line
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