Break$-$Even Sales and Cost$-$Volume$-$Profit Chart

For the coming year, Cleves Company anticipates a unit selling price of $$100,$ a unit variable cost of $$60,$ and fixed costs of $$480,000.$

Required:

Compute the anticipated break$-$even sales $($units$).$

units

Compute the sales $($units$)$ required to realize a target profit of $$240,000.$

units

Construct a cost$-$volume$-$profit chart, assuming maximum sales of $20,000$ units within the relevant range. From your chart, indicate whether each of the following sales levels would produce a profit, a loss, or break$-$even.

Determine the probable income $($loss$)$ from operations if sales total $16,000$ units. $$

Income $$

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