Break-Even Sales and Cost-Volume-Profit Chart

For the coming year, Cleves Company anticipates a unit selling price of $148, a unit variable cost of $74, and fixed costs of $429,200.

Required:

1. Compute the anticipated break-even sales in units. fill in the blank 1 units

2. Compute the sales (units) required to realize income from operations of $192,400. fill in the blank 2 units

3. Construct a cost-volume-profit chart, assuming maximum sales of 11,600 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.

$1,198,800
$1,080,400
$858,400
$651,200
$518,000

4. Determine the probable income (loss) from operations if sales total 9,300 units. If required, use the minus sign to indicate a loss. $fill in the blank 8