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38 44 Flying Cloud Co. has the following operating data for its manufacturing operations: Unit selling price $210 Unit variable cost $114 Total fixed costs
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Flying Cloud Co. has the following operating data for its manufacturing operations: Unit selling price $210 Unit variable cost $114 Total fixed costs $785,000 The company has decided to increase the wages of hourly workers which will increase the unit variable cost by 10%. Increases in the salaries of factory supervisors and property taxes for the factory will increase fixed costs by 4%. If sales prices are held constant, the next break-even point for Flying Cloud Co. will be a. increased by 1,473 units b. decreased by 1,473 units c. increased by 1,178 units d. increased by 1,768 unitsStep by Step Solution
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