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Greek Manufacturing Company produces and sells a line of product that are sold usually all year round. The company has a maximum production capacity
Greek Manufacturing Company produces and sells a line of product that are sold usually all year round. The company has a maximum production capacity of 100,000 units per year. Operating at normal capacity, the business earned Operating Income of $600,000 in 2020. The following cost data has been prepared for the year ended December 31, 2020. c) Selling price per unit..... $50.00 Production Costs: Direct Materials $10.00 Direct Labour $8.00 Variable Manufacturing Overhead $7.00 Fixed Manufacturing Overhead ........$450,000 Fixed Selling & Administrative Expenses.... $300,000 Variable selling expense per unit $10.00 Calculate Greek's break-even point in units and in sales dollars. (2 marks)
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