k The MemoryFit Shoe Company operates a chain of shoe stores that sell 10 different styles of inexpensive men's shoes with identical unit costs and selling prices. A unit is defined as a par of shoes Each store has a store manager who is paid a fixed salary individual salespeople receive a foxed salary and a sales commission MemoryFit is considering opening another store that is expected to have the revenue and cost relationships shown here. (Click the icon to view the revenue and cost information) Read the requirements Requirement 1a. What is the annual breakeven point in units sold? Determine the formula used to calculate the breakeven number of units, then calculate the number of units that must be sold to break even Foxed costs 351,000 Contribution margin per unit 36 Breakeven number of units 9,750 Requirement 1b. What is the annual breakeven point in revenues? Determine the formula used to calculate the breakeven revenue, then calculate MemoryFits annual breakeven point in revenues Breskoven revenues: Part 2 of 8 HW Score: 24.48%, 24.48 of 100 points Points: 9.09 of 40 me MemoryFit Shoe Company operates a chain of shoe stores that sell 10 different styles of inexpensive men's shoes with identical unit costs and selling prices. A unit is d s a store manager who is paid a fixed salary Individual salespeople receive a fixed salary and a sales commission. MemoryFit is considering opening another store that st relationships shown here (Click the icon to view the revenue and cost information) ad the requirements Data table - X uirement 1a. What is the ermine the formula used to Fixed costs 351,000 irement 1b. What is the A B C D 1 Unit Variable Data (per pair of shoes) Annual Fixed Costs even 2 Selling price $ 64.00 Rent $ 50,000 3 Cost of shoes 4 Sales commission $ 24.00 Salaries 237,000) 4.00 Advertising 47,000 5 Variable cost per unit $ 28.00 Other fixed costs 17,000 mine the formula used to 6 Total fixed costs $ 351,000 Print Done oryFit Shoe Company operates a chain of shoe stores that sell 10 different styles of inexpensive men's shoes with identical unit costs and selling pr e manager who is paid a fixed salary. Individual salespeople receive a fixed salary and a sales commission MemoryFit is considering opening anom Onships shown here. the icon to view the revenue and cost information.) equirements Requirements - X nt 1a. What is t he formula use Fixed costs 351,000 nt 1b. What is t he formula used Consider each question independently. 1. What is the annual breakeven point in (a) units sold and (b) revenues? 2. If 30,000 units are sold, what will be the store's operating income (loss)? 3. If sales commissions are discontinued and fixed salaries are raised by a total of $9,000, what would be the annual breakeven point in (a) units sold and (b) revenues? 4. Refer to the original data. If, in addition to his fixed salary, the store manager is paid a commission of $6.00 per unit sold, what would be the annual breakeven point in (a) units sold and (b) revenues? 5. Refer to the original data. If, in addition to his fixed salary, the store manager is paid a commission of $6.00 per unit in excess of the breakeven point, what would be the store's operating income if 54,000 units were sold? Print Done