Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Given the following information: Selling Price (per unit): $10,000 Variable Costs (per unit): $7,000 Fixed Costs: $200,000 Required Each of these are separate situations: What

Given the following information:

Selling Price (per unit): $10,000

Variable Costs (per unit): $7,000

Fixed Costs: $200,000

Required

Each of these are separate situations:

  1. What is the break-even point in total sales in dollars?
  2. How many units need to be sold to make a profit of $20,000?
  3. How many units need to be sold to make a profit of $20,000 if fixed costs increase from $200,000 to $250,000?
  4. How many units would they need to sell if they wanted to double profit, if the current number of units sold is 200?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Factory Business System Audit Lean Manufacturing

Authors: Rolf Thorsten

1st Edition

1091908583, 978-1091908581

More Books

Students also viewed these Accounting questions

Question

Evaluate the impact of unions on nurses and physicians.

Answered: 1 week ago

Question

Describe the impact of strikes on patient care.

Answered: 1 week ago

Question

Evaluate long-term care insurance.

Answered: 1 week ago