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Candy Rugs is holding a 2-week carpet sale at Jack's Club, a local warehouse store. Candy Rugs plans to sell carpets for $850 each. The
Candy Rugs is holding a 2-week carpet sale at Jack's Club, a local warehouse store. Candy Rugs plans to sell carpets for $850 each. The company will purchase the carpets from a local distributor for $340 each, with the privilege of returning any unsold units for a full refund. Jack's Club has offered Candy Rugs two payment alternatives for the use of space. (Click the icon to view the additional information.) Read the requirements. breakeven Fixed cost Contribution margin per unit Calculate the breakeven point in units for option 1, then option 2. (Round your answers up to the nearest whole number. Enter "0" for zero balances.) Units 37 (a) Option 1 (b) Option 2 . . Option 1: A fixed payment of $18,870 for the sale period Option 2: 20% of total revenues earned during the sale period Assume Candy Rugs will incur no other costs
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