Break-Even Sales and Cost-Volume-Profit Chart

For the coming year, Cleves Company anticipates a unit selling price of $94, a unit variable cost of $47, and fixed costs of $559,300.

Required:

A. Compute the anticipated break-even sales (units). ________________units

B. Compute the sales (units) required to realize a target profit of $291,400. ________________units

C. Construct a cost-volume-profit chart, assuming maximum sales of 23,800 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.

$1,569,800
$1,400,600
$1,118,600
$836,600
$667,400

D. Determine the probable income (loss) from operations if sales total 19,000 units. If required, use the minus sign to indicate a loss. $ ________ Income/Loss?