Carla Vista Corporation has collected the following information after its first year of operations. Sales were $$1,250,000$ on $125,000$ units, selling expenses $$250,000(40\%$ variable and $60\%$ fixed$),$ direct materials $$498,000,$ direct labor $$33,300,$ administrative expenses $$278,000(20\%$ variable and $80\%$ fixed$),$ and manufacturing overhead $$358,000(70\%$ variable and $30\%$ fixed$).$ Top management has asked you to do a CVP analysis so that it can make plans for the coming year. It has projected that unit sales will increase by $10\%$ next year.

Compute the break$-$even point in sales units and sales dollars for the current year.

Compute the break$-$even point in sales units and sales dollars for the current year.

Break$-$even point $$ units

Break$-$even point in dollars

$ $$

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Your answer is incorrect.

The company has a target net income of $$200,000.$ What is the required sales in dollars for the company to meet its target?

Sales dollars required for target net income

$

$$

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