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Managerial accounting please do all requirements Imaginationtime Park competes with Water World by providing a variety of rides. Imaginationtime Park sells tickets at $125 per
Managerial accounting please do all requirements
Imaginationtime Park competes with Water World by providing a variety of rides. Imaginationtime Park sells tickets at $125 per person as a one-day entrance fee. Variable costs are $75 per person, and fixed costs are $325,000 per month. Under these conditions the breakeven point in tickets is 6,500 and in sales dollars is $812,500. Suppose Imaginationtime Park increases fixed costs from $325,000 per month to $393,500 per month. Compute the new breakeven point in tickets and in sales dollars. Begin by selecting the formula labels and then entering the amounts to compute the number of tickets Imaginationtime must sell to break even if its fixed costs are increased to $393,500. (Abbreviation used: CM = contribution margin. Complete all answer boxes. For items with a zero value, enter "0".) ( Fixed costs + Target profit )/ CM per unit = Required sales in unitsStep by Step Solution
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