Question
High-Low Cost Estimation and Profit Planning Comparative 2012 and 2013 income statements for Dakota Products Inc. follow: DAKOTA PRODUCTS INC. Comparative Income Statements For Years
High-Low Cost Estimation and Profit Planning Comparative 2012 and 2013 income statements for Dakota Products Inc. follow:
| DAKOTA PRODUCTS INC. Comparative Income Statements For Years Ending December 31, 2012 and 2013 | ||
|---|---|---|
| 2012 | 2013 | |
| Unit sales | 6,000 | 9,000 |
| Sales revenue | $ 78,000 | $ 117,000 |
| Expenses | (70,000) | (85,000) |
| Profit (loss) | $ 8,000 | $ 32,000 |
(a) Determine the break-even point in units.
units (b) Determine the unit sales volume required to earn a profit of $12,000
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Auditing A Practical Approach
Authors: Robyn Moroney, Fiona Campbell, Jane Hamilton
3rd Edition
0730364577, 978-0730364573
