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advertising ( 7% of revenue), supplies and postage ( 3% of revenue), and usage fees for the telephone lines and computerized brokerage service ( 16%
advertising ( 7% of revenue), supplies and postage ( 3% of revenue), and usage fees for the telephone lines and computerized brokerage service ( 16% of revenue). Read the First identify the formula to calculate the breakeven point in dollars. 1+[]= Requirements 1. Compute the investment firm's breakeven revenue in dollars. If the average trade leads to $500 in revenue for Your Financial, how many trades must it make to breakeven? 2. Compute dollar revenues needed to earn monthly operating income of $5,400. 3. Graph Your Financial's CVP relationships. Assume that an average trade leads to $500 in revenue for the firm. Show the breakeven point, sales revenue line, fixed expense line, total expense line, operating loss area, operating income area, and sales in units (trades) and dollars when monthly operating income of $5,400 is earned. The graph should range from 0 to 40 units (trades). 4. Assume that the average revenue that Your Financial Investors earns decreases to $400 per trade. How does this affect the breakeven point in number of trades
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