E6-4 Analyzing Changes in Price, Cost Structure, Degree of Operating Leverage [LO 6-4, 6-5]

Cove's Cakes is a local bakery. Price and cost information follows: Price per cake Variable cost per cake Ingredients Direct labor Overhead (box, etc.) Fixed cost per month Required: s 13.41 2.33 1.06 0.24 $3, 129.60 1. Calculate Cove's new break-even point under each ottne following independent scenarios: (Round your answer to the nearest whole number.) a. Sales price increases by $2.10 per cake. cakes b. Fixed costs increase by $505 per month. ea - ven 01 cakes c. Variable costs decrease by $0.43 per cake. cakes