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Assume a local cost cutters provides cuts, perms, and hairstyling services. annual fixed costs are $120,000, and variables cost are 40 percent of sales revenue.
Assume a local cost cutters provides cuts, perms, and hairstyling services. annual fixed costs are $120,000, and variables cost are 40 percent of sales revenue. last year`s revenue totaled $250,000
Required
a. determine its break-even point in sales dollars
b. determine last year`s margin of safety in sales dollars
c. determine the sales volume required for an annual profit of $80,000.
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