Exercise 3-6A (Algo) Cost structure, risk, and the break-even point LO 3-2

Munoz Company produces a product that sells for $37 per unit and has a variable cost of $22 per unit. Munoz incurs annual fixed costs of $102,000.

Required

1. Determine the sales volume in units and dollars required to break even.(Do not round intermediate calculations.)

2. Calculate the break-even point assuming fixed costs increase to $141,000.(Do not round intermediate calculations.)

\begin{tabular}{|c|l|} \hline a. & Sales volume in units \\ \hline & Sales in dollars \\ \hline b. & Break-even units \\ \hline & Break-even sales \\ \hline \end{tabular}