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3. Break-even - For fiscal year 2020 Jarvis Company budgeted 40,000 units for production per month. Jarvis Golf Company sells a special putter for $20

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3. Break-even - For fiscal year 2020 Jarvis Company budgeted 40,000 units for production per month. Jarvis Golf Company sells a special putter for $20 each. In March, it sold 28,000 putters while manufacturing 30,000. There was no beginning inventory on March 1. Production information for March was: 15 minutes $ 40,000 132,000 Direct manufacturing labor per unit Fixed selling and administrative costs Fixed manufacturing overhead Direct materials cost per unit Direct manufacturing labor per hour Variable manufacturing overhead per unit Variable selling expenses per unit Required: a. Compute the breakeven point in units using variable costing b. Compute the breakeven point in units using absorption costing C. Compute the profits under variable costing if the number of units sold are the number in part b. Show your work d. Which of the breakeven point methods would you recommend? Explain

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