m 2 (Textbook Releremce: PS-3) - Determise break-even point under varying ss The management of Bootleg Compary wants to know the break-even point for is new line of hing boots under each of following indcrcadent assumptions. The selling price is $50 per pair of boots unkess otherwive stated. (Each pair of bots ore uni). Required: Compute the break-even point in units and sales dellars for each of the four independent cases a. Fixed costs are $300,000 variable cost is $30 per unit. Breakeven sales dollars 7S00 Breakeven sale,dolla soo, co0 Break-even sales dtars ,olo Break-even units-12 b Fived costs are $300,000 variable cost is $20 per unit Break eva units 10,000 Fived costs are $250,000, variable cost is $20 per uni Break-even units8232 c. d Fixed costs are $250,000, selling price is $40, and variable cost is $30 per unit Break-even units 2S,00o 1,00000 -Break-even sales dollars Sce nario Sales Price per Uni Varable Cost per Unit Contribution Margin per Un 5o 3 o 20 0 20 3 O 2.0 30 Contribution Margin Ratio 40% 0%(o0 % 25% CM/Sales Break-even units Total Fixed Cost /Unit C Break-even sales = Total Fixed Cost/CM ratio) 5,00, 9,0 333 2S000 lkrs=urio, 750,000 500,000 tio,700,000,000