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Kent Manufacturing produces a product that sells for $63.00 and has variable cost of $30 per unit. Fixed costs are $396,000. Kent can buy a
Kent Manufacturing produces a product that sells for $63.00 and has variable cost of $30 per unit. Fixed costs are $396,000. Kent can buy a new production machine that will increase fixed cost by $19,800 per year, but will decrease variable cost by $4.80 per unit. Compute the revised the break even point in units at the new machine is purchased.
Help Save & Exit Submit Kent Manufacturing produces a product that sells for $63.00 and has variable costs of $30.00 per unit. Fixed costs are $396,000. Kent can buy a new production machine that will increase fixed costs by $19,800 per year, but will decrease variable costs by $4.80 per unit. Compute the revised break even point in units if the new machine is purchased. Multiple Choice 12,600 units. 10,476 units. 12,000 units. 20 of 25 NextStep by Step Solution
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