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Consider the following data for Google: Selling price per unit: $20 Variable cost per unit: $12 Fixed costs: $100,000 i) Calculate the contribution margin per
Consider the following data for Google:
- Selling price per unit: $20
- Variable cost per unit: $12
- Fixed costs: $100,000
i) Calculate the contribution margin per unit.
ii) Determine the break-even point in units.
iii) Calculate the break-even point in sales dollars.
iv) If Google wants to achieve a profit of $50,000, how many units must it sell?
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