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Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of operations: Variable costs per unit:

Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of operations:
Variable costs per unit:
Manufacturing:
Direct materials
Direct labor
Variable manufacturing overhead
Variable selling and administrative
Fixed costs per year:
$21
$13
$4
$2
Fixed manufacturing overhead
Fixed selling and administrative expenses
$330,000
$150,000
During its first year of operations, Haas produced 40,000 units and sold 40,000 units. During its second year of operations, it produced 55,000 units and sold 30,000 units. In its third year, Has produced 20,000 units and sold 45,000 units. The selling price of the company's product is $52 per unit.
Required:
Compute the company's break-even point in unit sales.
Assume the company uses variable costing:
a. Compute the unit product cost for Year 1, Year 2, and Year 3.
b. Prepare an Income statement for Year 1, Year 2, and Year 3,
Assume the company uses absorption costing:
a. Compute the unit product cost for Year 1, Year 2, and Year 3.
b. Prepare an income statement for Year 1, Year 2, and Year 3.
Complete this question by entering your answers in the tabs below.
Compute the company's break-even point in unit sales.
Break-oven unit trates
units
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