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During the upcoming year De Anza Co. expects the following data: Expected unit selling price is: Expected unit variable cost is: Expected total fixed costs
During the upcoming year De Anza Co. expects the following data: Expected unit selling price is: Expected unit variable cost is: Expected total fixed costs are: $1,512,500 Required 1. Calculate breakeven point in both units and dollars. (Show work in blank space below.) $125 $70 Round units to the nearest unit and round dollars to the nearest dollar. 2. Compute sales units required to realize income from operations of $630,000. 3. Construct a cost-volume-profit chart assuming maximum sales in the relevant range of 40,000 units. (Use the available graph template below.) Label the following parts of the graph: Sales Revenue, Fixed Costs, Variable Costs, Total Costs, Profit Area, Loss Area, and Break Even Point. cost amounts on y axis 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 UNITS
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