A, B E F G HIJ KL 0 14 15 16 17 Break Even fin accounts) 20 21 24 million [rounded) accounts 26 Supporting calculations Revenue per aocount (in millions 30 31 Total revenue fin millions) Total accounts fin milions) Revenue per account (in millions) Vatiable cost per account fin millions Variable Fell AmoustPercestage Cost of revenue (in millions) Selling.gen, admin exp fin millions) Total variable costs Divided bg number of accounts Vaiable cost per accounk (in millions) Total fised costs fin milions) Fized Fell AmosstPercestage Cost of revervue [in millions) Seling, gen, admin, eap. (in millions) Depreciation Toal fwed cots (in millions) BI+ ak-even tin # ,evenue, in millions) Total costs Divided bs number of sccounts Break-even Ex. 21-16 O Type here to search OBJ. 3 EX 21-16 Break-even analysis for a service company Sprint Nextel is one of the largest digital wireless serv e of $35.ximately 33ss service providers in the United States. In the year were as follows Cin millions): revenue of $35,345 million. Costs and expenses for mately 32.5 million direct subscribers (accounts) that generate Cost of revenue Selling, general, and administrative expenses Depreciation $20,841 9,765 2,239 Ass une that 70% of the cost of of the se revenue and 30% of the selling, general, and administra- e expenses are variable to the number of direct subscribers (accounts a. What is Sprint Nextel's of a reak-even number of accounts, using the data and assump- units (accounts) and per-account amounts to one decimal place. tions given? Round b. How much revenue per account would be sfficient for Sprint Nexte if the number of accounts remained constant