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Cantor Products sells a product for $87. Variable costs per unit are $33, and monthly fixed costs are $205,200. Answer the following questions: Required:
Cantor Products sells a product for $87. Variable costs per unit are $33, and monthly fixed costs are $205,200. Answer the following questions: Required: a. What is the break-even point in units? b. What unit sales would be required to earn a target profit of $421,200? c. Assuming Cantor achieves the level of sales required in part b, what is the degree of operating leverage? d. If sales decrease by 30% from that level, by what percentage will profits decrease? Complete this question by entering your answers in the tabs below. Required A Required B Required C What is the break-even point in units? Break-Even Point units Required D Required A Required B > ntor Products sells a product for $87. Variable costs per unit are $33, and monthly fixed costs are $205,200. Answer estions: quired: What is the break-even point in units? What unit sales would be required to earn a target profit of $421,200? Assuming Cantor achieves the level of sales required in part b, what is the degree of operating leverage? If sales decrease by 30% from that level, by what percentage will profits decrease? Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D What unit sales would be required to earn a target profit of $421,200? Total Required Sales units < Required A Required C > Cantor Products sells a product for $87. Variable costs per unit are $33, and monthly fixed costs are $205,200. Ar questions: Required: a. What is the break-even point in units? b. What unit sales would be required to earn a target profit of $421,200? c. Assuming Cantor achieves the level of sales required in part b, what is the degree of operating leverage? d. If sales decrease by 30% from that level, by what percentage will profits decrease? Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Assuming Cantor achieves the level of sales required in part b, what is the degree of operating leverage? Note: Round your answer to 3 decimal places. Degree of Operating Leverage < Required B Required D > Cantor Products sells a product for $87. Variable costs per unit are $33, and monthly fixed costs are $205,200. Ansv questions: Required: a. What is the break-even point in units? b. What unit sales would be required to earn a target profit of $421,200? c. Assuming Cantor achieves the level of sales required in part b, what is the degree of operating leverage? d. If sales decrease by 30% from that level, by what percentage will profits decrease? Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D If sales decrease by 30% from that level, by what percentage will profits decrease? Note: Do not round Intermediate calculation. Round your answer to 2 decimal places. Change in Profit < Required C Required D
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Lets address the questions one by one a What is the breakeven point in units To calculate the breakeven point in units we use the formula Breakeven po...Get Instant Access to Expert-Tailored Solutions
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