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Break-Even Sales Anheuser-Busch InBev Companies, Inc., reported the following operating information for a recent year: In addition, assume that Anheuser-Busch InBev sold 44,000 barrels of
Break-Even Sales Anheuser-Busch InBev Companies, Inc., reported the following operating information for a recent year: In addition, assume that Anheuser-Busch InBev sold 44,000 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 following year, assume that AnheuserBusch InBev expects pricing, variable costs per barrel, and fixed costs to remain constant, except that new distribution and general office facilities are expected to increase fixed costs by $18,500. 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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