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Break-Even Sales Anheuser-Busch InBev Companies, Inc., reported the following operating information for a recent year: Sales $10,560,000 $2,640,000 Cost of goods sold Selling, general and
Break-Even Sales Anheuser-Busch InBev Companies, Inc., reported the following operating information for a recent year: Sales $10,560,000 $2,640,000 Cost of goods sold Selling, general and administration 960,000 $3,600,000 $ 6,960,000* Income from operations "Before special items In addition, assume that Anheuser-Busch InBev sold 60,000 barrels of beer during the year. Assume that variable costs were 75% of the cost of goods sold and 50% of selling, general, and administration expenses. Assume that the remaining costs are fixed. For the follow year, assume that Anheuser-Busch InBev expects pricing, variable costs per barrel, and fixed costs to remain constant, except that ne distribution and general office facilities are expected to increase fixed costs by $34,200. a. Compute the break-even number of barrels for the current year. Round to the nearest whole barrel. barrels b. Compute the anticipated break-even number of barrels for the following year. Round to the nearest whole barrel. barrels
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