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Issue 18/08/2011 Emirates College of Technology e Prepare for C J L Revision Date 10/06/2015 Assignment #2 Form No.ECT/ACA/F01.03 Question 3:..(4 marks: each method 2

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Issue 18/08/2011 Emirates College of Technology e Prepare for C J L Revision Date 10/06/2015 Assignment #2 Form No.ECT/ACA/F01.03 Question 3:..(4 marks: each method 2 marks) Alpha company has Fixed expenses total $120,000 per year. Sales price $ 35 per unit, and has related variable expenses of $ 5 per unit. Instructions: 1- How many units Alpha Co. must be sold each year to yield an annual profit of $60,000 (use two methods). (2 marks) 2- Explain why the breakeven point is important for companies? (2 marks)

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