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4. Problem 13.06 Click here to read the eBook: Business and Financial Risk BREAK-EVEN ANALYSIS The Warren Watch Company sells watches for $22, fixed costs
4. Problem 13.06 Click here to read the eBook: Business and Financial Risk BREAK-EVEN ANALYSIS The Warren Watch Company sells watches for $22, fixed costs are $195,000, and variable costs are $14 per watch. a. What is the firm's gain or loss at sales of 6,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent. $ What is the firm's gain or loss at sales of 18,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent. $ b. What is the break-even point (unit sales)? Round your answer to the nearest whole number. units c. What would happen to the break-even point if the selling price was raised to $31? -Select- d. What would happen to the break-even point if the selling price was raised to $31 but variable costs rose to $22 a unit? Round your answer to the -Select- The result that the break-even point decreases. The result is that the break-even point remains unchanged. The result is that the break-even point increases. Grade it Now Save & Continue Continue without saving
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