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Cove's Cakes is a local bakery. Price and cost information follows: Price per cake $ 13.11 Variable cost per cake Ingredients Direct labor 2.29

 

Cove's Cakes is a local bakery. Price and cost information follows: Price per cake $ 13.11 Variable cost per cake Ingredients Direct labor 2.29 1.02 overhead (box, etc.) 0.20 Fixed costs per month. 3,072.00 Required: 1. Determine Cove's break-even point in units and sales dollars. 2. Determine the bakery's margin of safety in sales dollars if it currently sells 390 cakes per month. 3. Determine the number of cakes that Cove must sell to generate $2,100 in profit.

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