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Cost-Volume-Profit Analysis at Tesla Values: Selling Price per Unit: $50 Variable Cost per Unit: $30 Fixed Costs: $1,000,000 Requirements: Calculate the breakeven point in units

Cost-Volume-Profit Analysis at Tesla

    • Values:
      • Selling Price per Unit: $50
      • Variable Cost per Unit: $30
      • Fixed Costs: $1,000,000
    • Requirements:
      1. Calculate the breakeven point in units and dollars.
      2. Determine the contribution margin ratio.
      3. Analyze the impact of a 10% increase in selling price on profitability.
      4. Recommend strategies to reduce variable costs at Tesla.

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