Break-Even Sales and Cost-Volume-Profit Chart For the coming year, Cleves Company anticipates a unit selling price...
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Break-Even Sales and Cost-Volume-Profit Chart For the coming year, Cleves Company anticipates a unit selling price of $138, a unit variable cost of $69, and fixed costs of $752,100. Required: 1. Compute the anticipated break-even sales (units). units 2. Compute the sales (units) required to realize a target profit of $324,300. units 3. Construct a cost-volume-profit chart on paper, assuming maximum sales of 21,800 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. $2,111,400 $1,876,800 $1,504,200 $1,131,600 Profit Profit Break-even Loss $897,000 Loss 4. Determine the probable operating income (loss) if sales total 17,400 units. If required, use the minus sign to indicate a loss. Income Break-Even Sales and Cost-Volume-Profit Chart For the coming year, Cleves Company anticipates a unit selling price of $138, a unit variable cost of $69, and fixed costs of $752,100. Required: 1. Compute the anticipated break-even sales (units). units 2. Compute the sales (units) required to realize a target profit of $324,300. units 3. Construct a cost-volume-profit chart on paper, assuming maximum sales of 21,800 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. $2,111,400 $1,876,800 $1,504,200 $1,131,600 Profit Profit Break-even Loss $897,000 Loss 4. Determine the probable operating income (loss) if sales total 17,400 units. If required, use the minus sign to indicate a loss. Income
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