Answer 1 of 1 Done Break even point in units 1,400 cuts Break even point in Dollar sales $14,000 Working Note Variable Cost per unit = $4.50 + $0.20 = $5.00 Total Fixed Cost Barber's Base Salary (4 x 1,250) 5,000 Managers Salary 500 Advertising 200 Rent 1,100 Utilities 175 Magazines 25 Total $7,000 Contribution margin = $$10 - $5 = $5 Break even point = Fixed Cost / Contribution margin = 1,400 cuts Break even point in Sales = Fixed Cost / Contribution margin x selling price = 7,000/5 x 10 = $14,000 = 7,000/ $5 Compute the break-even point in units and dollars. Break-even point 1400 haircuts Break even sales $ 14000 eTextbook and Media Attempts: 1 of 3 used (d) Your answer is incorrect Determine net income, assuming 1,600 haircuts are given in a month. Net income/Loss S eTextbook and Media Save for later Attempts: 1 of 3 used Submit A