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Newman Company expects to produce and sell 2,000 units next month. Data on costs follows: Per unit information: Selling price $40 Variable manufacturing costs $10
Newman Company expects to produce and sell 2,000 units next month. Data on costs follows: Per unit information: Selling price $40 Variable manufacturing costs $10 Variable selling costs $6 Fixed costs: Fixed manufacturing costs $16,000 Fixed selling costs $8,000 Required: A. What is the break-even point in units? units B. What is the break-even point in sales dollars? $ C. What is the expected operating income for next month? $ D. What is the margin of safety in dollars? $
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