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Break-Even Sales Under Present and Proposed Conditions I need help with 4-7, thank you! Break-Even Sales Under Present and Proposed Conditions Kearney Company, operating at
Break-Even Sales Under Present and Proposed Conditions
I need help with 4-7, thank you!
Break-Even Sales Under Present and Proposed Conditions Kearney Company, operating at full capacity, sold 105,400 units at a price of $123 per unit during 20Y5. Its income statement for 20YS is as follows: Sales Cost of goods sold Gross profit Expenses $12,964,200 (4,592,000) $8,372,200 Selling expenses Administrative expenses Total expenses $2,296,000 1,394,000 (3,690,000) Income from operations $4,682,200 The division of costs between fixed and variable is as follows: Cost of good sold Selling expenses Administrative expenses 70% Fixed 40% 50% Variable 60% 50% 30%Step by Step Solution
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