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Maria has proposed a plan to get the partnership out of the red and improve its profitability. She feels that the quality of the product
Maria has proposed a plan to get the partnership out of the red" and improve its profitability. She feels that the quality of the product could be substantially improved by spending $0.20 more per unit on better raw materials. The selling price per unit could be increased to only $5.20 because of competitive pressures. Maria estimates that sales volume will increase by 25%. Calculate the break-even point in total sales dollars and in units under the proposed plan. (Round contribution margin per unit and contribution margin ratio to 2 decimal places, e.g. 15.25 or 15.25% and final answers to 0 decimal places, e.g. 5,275.) Break-even point in sales $ Break-even point in units What effect would Maria's plan have on the partnership's operating income and its break-even point in dollars? This plan would have no v effect on the break-even point in units, but break-even point in sales dollars beca It the operating income before tax from a of $ to an Maria has proposed a plan to get the partnership out of the red" and improve its profitability. She feels that the quality of the product could be substantially improved by spending $0.20 more per unit on better raw materials. The selling price per unit could be increased to only $5.20 because of competitive pressures. Maria estimates that sales volume will increase by 25%. Calculate the break-even point in total sales dollars and in units under the proposed plan. (Round contribution margin per unit and contribution margin ratio to 2 decimal places, e.g. 15.25 or 15.25% and final answers to 0 decimal places, e.g. 5,275.) Break-even point in sales $ Break-even point in units What effect would Maria's plan have on the partnership's operating income and its break-even point in dollars? This plan would have no v effect on the break-even point in units, but break-even point in sales dollars beca It the operating income before tax from a of $ to an
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