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Cantor Products sells a product for $94. Variable costs per unit are $43, and monthly fixed costs are $173,400. Answer the following questions: Required:
Cantor Products sells a product for $94. Variable costs per unit are $43, and monthly fixed costs are $173,400. 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 $484,500? 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 What is the break-even point in units? Break-Even Point units Required A Required B Required C Required D What unit sales would be required to earn a target profit of $484,500? Total Required Sales units 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 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 %
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