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Campbell Corporation is a manufacturing company that makes small electric motors it sells for $44 per unit. The variable costs of production are $24 per
Campbell Corporation is a manufacturing company that makes small electric motors it sells for $44 per unit. The variable costs of production are $24 per motor, and annual fixed costs of production are $360,000. Required a. How many units of product must Campbell make and sell to break even? . How many units of product must Campbell make and sell to earn a $80,000 profit? c. The marketing manager believes that sales would increase dramatically if the price were reduced to $34 per unit. How many units of product must Campbell make and sell to earn a $104,000 profit, if the sales price is set at $34 per unit? units a. Sales volume b. Sales volume c. Sales volume units units The marketing manager of Jordan Corporation has determined that a market exists for a telephone with a sales price of $24 per unit. The production manager estimates the annual fixed costs of producing between 41,900 and 81,700 telephones would be $443,200. Required Assume that Jordan desires to earn a $122,000 profit from the phone sales. How much can Jordan afford to spend on variable cost per unit if production and sales equal 47,100 phones? Variable cost per unit
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