Question
Mauro Products distributes a single product, a woven basket whose selling price is $27 and whose variable expense is $22.95 per unit. The companys monthly
Mauro Products distributes a single product, a woven basket whose selling price is $27 and whose variable expense is $22.95 per unit. The companys monthly fixed expense is $4,860.
Required: 1. Solve for the companys break-even point in unit sales using the equation method. (Do not round your intermediate calculations.)
Break-even point in unit sales: __ baskets
2. Solve for the companys break-even point in dollar sales using the equation method and the CM ratio. (Do not round intermediate calculations. Round "CM ratio percent" to nearest whole percent.)
CM Ratio: __%
Break even point in dollar sales:__
3. Solve for the companys break-even point in unit sales using the formula method. (Do not round your intermediate calculations.) Break even point in unit sales: ___ baskets
4. Solve for the companys break-even point in dollar sales using the formula method and the CM ratio. (Do not round intermediate calculations. Round "CM ratio percent" to nearest whole percent.)
CM Ratio: __%
Break-even point in dollar sales:
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