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BREAKEVEN ANALYSIS The Weaver Watch Company sells watches for $25, the fixed costs are $140,000, and variable costs are $15 per watch. a. What is
BREAKEVEN ANALYSIS The Weaver Watch Company sells watches for $25, the fixed costs are $140,000, and variable costs are $15 per watch. a. What is the firm's gain or loss at sales of 8,000 watches? at 18,000 watches? b. What is the breakeven point? Illustrate by means of a chart. c. What would happen to the breakeven point if the selling price was raised to $31 ? What is the significance of this analysis? d. What would happen to the breakeven point if the selling price was raised to $31 but variable costs rose to $23 a unit
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