Break-Even Analysis for a Service Company Rotelco is a digital wireless service provider in the United States. In a recent year, it had approximately 100 direct subscribers (accounts) that generated revenue of $36,000. Costs and expenses for the year were as follows: Cost of revenue $16,200 Selling, general, and administrative expenses 11,200 Depreciation 4,000 Assume that 80% of the cost of revenue and 20% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations to two decimal place and final answers to the nearest whole number. a. What is Rotelco's break-even number of accounts, using the data and assumptions above? X accounts b. How much revenue per account would be sufficient for Rotelco to break even if the number of accounts remained constant? per account

Been Analysis for a Service Congary Rotes service provider in the United States. In a recent van had apoiataly 100 drect airbers Chemars that need revenue of 5.000 and enes for the years Cet of revenue $16.300 Selling general, and distrative 11,200 Depreciation 4,000 Assume that 80% of the cost of revenue and 20% of the sailing, general, and administrative expereses are variabis to the number of direct subsobers accounts) part (a) and (b), reund all intere calculations to two decimal plate and final answers to the nearest whole number. What is Retalca's break-even number of accounts, using the date and assumptions above X accur b. How much revenue per account wild be sufficient for Retalco to break even if the number of accounts red constant per account