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Need help answering break even point in dollar sales for part 2 - (got $2,609,063 which it said was incorrect). as well as part 3
Need help answering break even point in dollar sales for part 2 - (got $2,609,063 which it said was incorrect). as well as part 3 and 4.
Minden Company introduced a new product last year for which it is trying to find an optimal selling price. Marketing studies suggest that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The company's present selling price is $95 per unit, and variable expenses are $65 per unit. Fixed expenses are $834,900 per year. The present annual sales volume (at the $95 selling price) is 25,600 units Required: 1. What is the present yearly net operating income or loss? Net operating loss S 66,900 Net operating loss 66,900 2. What is the present break-even point in unit sales and in dollar sales? 27,830 Break-even point in units Break-even point in dollar sales
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