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Chapter 19 - Homework eBook Calculator Print Item 1. EX.19-06.ALGO Rotelco is one of the largest digital wireless service providers in the United States. In
Chapter 19 - Homework eBook Calculator Print Item 1. EX.19-06.ALGO Rotelco is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 100 million direct subscribers (accounts) that generated revenue of $60,300 million. Costs and expenses for the year were as follows: 2. EX.19-07.ALGO Cost of revenue $27,100 3. EX.19-08.ALGO Selling, general, and administrative expenses Depreciation 18,700 6,600 4. EX.19-09.ALGO Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). 5. EX.19-13.ALGO a. What is Rotelco's break-even number of accounts, using the data and assumptions above? Round to the nearest whole number. x million accounts 6. EX.19-16.ALGO b. How much revenue per account would be sufficient for Rotelco to break even if the number of accounts remained constant? Round to the nearest dollar. million per account 7. EX.19-21.ALGO Feedback 8. EX.19-23.ALGO Check My Work 9. EX.19-25.ALGO a. Fixed costs divided by unit contribution margin equals break-even point in units. b. Fixed costs divided by X-variable costs equals number of subscribers. Solving for X will result in the break-even revenue per account. 10. PR. 19-02A.ALGO Learning Objective 3. 11. PR. 19-05A.ALGO 12. PR. 19-06A.BLANKSHEET.... Check My Work Previous Next Progress: 6/12 items Assignment Score: 30% All work saved. Save and Exit Submit Assignment for Grading
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