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Flashy Glasses operates a kiosk at the local mall, selling sunglasses for $32 each. Flashy Glasses currently pays $1,270 a month to rent the space
Flashy Glasses operates a kiosk at the local mall, selling sunglasses for $32 each. Flashy Glasses currently pays $1,270 a month to rent the space and pays two full-time employees to each work 170 hours a month at $10 per hour. The store shares a manager with a neighboring kiosk and pays 50% of the manager's annual salary of $60,000 and benefits of $18,000. The wholesale cost of the sunglasses to the company is $14 a pair. Read the requirements. Requirement 1. How many sunglasses does Flashy Glasses need to sell each month to break even? The breakeven number of units is 440 Requirement 2. If Flashy Glasses wants to earn an operating income of $4,410 per month, how many sunglasses does the store need to sell? (Round your answer up to the nearest whole unit.) The company must sell 685 units to earn an operating income of $4,410. Requirement 3. If the store's hourly employees agreed to a 25% sales-commission-only pay structure, instead of their hourly pay, how many sunglasses would Flashy Glasses need to sell to earn an operating income of $4,410? (Round intermediary calculations to the nearest cent and your answer up to the nearest whole unit.) Under this scenario, the company must sell units to earn an operating income of $4,410
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