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Moe's Garage management has budgeted the following amounts for its next fiscal year: Total fixed expenses $500,000 Selling price per unit $45 Variable expenses per
Moe's Garage management has budgeted the following amounts for its next fiscal year:
Total fixed expenses | $500,000 |
Selling price per unit | $45 |
Variable expenses per unit | $25 |
If Moe's can reduce fixed expenses by $20,000, by how much can variable expenses per unit increase and still allow the company to maintain the original breakeven sales in units? 44) ______
A) $0.80 B) $20.00 C) $19.20 D) $25.80
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