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A machine manufacturer sells each machine for $6,000. The fixed costs are $269,650 per annum, variable costs are $2,200 per machine, and the production capacity
A machine manufacturer sells each machine for $6,000. The fixed costs are $269,650 per annum, variable costs are $2,200 per machine, and the production capacity is 80 machines in a year.
a. What is the break-even volume? Round up to the next whole number
b. What is the break-even revenue? Round to the nearest cent
c. What is break-even as a percent of capacity per annum? % Round to two decimal places
d. What is the profit or loss made if 66 machines are sold in a year? Round to the nearest cent
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