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2.50 points Eaton Tool Company has fixed costs of $315,000, sels its units for $76, and has variable costs of $41 per unit. a. Compute
2.50 points Eaton Tool Company has fixed costs of $315,000, sels its units for $76, and has variable costs of $41 per unit. a. Compute the break-even point. b. Ms. Eaton comes up with a new plan to cut fixed costs to $250,000. However, more labor will now be req remain at $76. What is the new break-even point? (Round your answer to the nearest whole number.) uired, which wil increase variable costs per unit to $44. The sales pric n point c. Under the new plan, what is likely to happen to profitability at very high volume levels (compared to the old plan)? Profitability will be less O Profitability will be more 7
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