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Exercise 18-11 Income reporting and break-even analysis LO P2 Blanchard Company manufactures a single product that sells for $136 per unit and whose total variable
Exercise 18-11 Income reporting and break-even analysis LO P2
Blanchard Company manufactures a single product that sells for $136 per unit and whose total variable costs are $102 per unit. The companys annual fixed costs are $496,400. (1) Prepare a contribution margin income statement for Blanchard Company at the break-even point.
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(2) Assume the companys fixed costs increase by $131,000. What amount of sales (in dollars) is needed to break even?
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