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Chapter 6 Question 4: Mauro Products distributes a single product, a woven basket whose selling price is $24 per unit and whose variable expense is
Chapter 6 Question 4:
Mauro Products distributes a single product, a woven basket whose selling price is $24 per unit and whose variable expense is $20 per unit. The companys monthly fixed expense is $11,200.
Required:
1. Calculate the companys break-even point in unit sales.
2. Calculate the companys break-even point in dollar sales. (Do not round intermediate calculations.)
3. If the company's fixed expenses increase by $600, what would become the new break-even point in unit sales? In dollar sales? (Do not round intermediate calculations.)
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