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b ) A production process requires a fixed cost of $ 5 0 , 0 0 0 and the variable cost per unit is $

b) A production process requires a fixed cost of $50,000 and the variable cost per unit is $25. The revenue per unit was projected to be $45, but a recent marketing study shows that because of an emerging competitor, the revenue will be about 12% lower. How does this affect the break-even point? (4 marks)
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