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Outback Outfitters sells recreational equipment. One of the company's products, a small camp stove, sells for $120 per unit. Variable expenses are $84 per stove,

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Outback Outfitters sells recreational equipment. One of the company's products, a small camp stove, sells for $120 per unit. Variable expenses are $84 per stove, and fixed expenses associated with the stove total $158.400 per month. Required: 1. What is the break-even point in unit sales and in dollar sales? 2. If the variable expenses per stove increase as a percentage of the selling price, will it result in a higher or a lower break-even point? (Assume that the fixed expenses remain unchanged.) 3. At present, the company is selling 14,000 stoves per month. The sales manager is convinced that a 10% reduction in the selling price would result in a 25% increase in monthly sales of stoves. Prepare two contribution format income statements, one under present operating conditions, and one as operations would appear after the proposed changes. 4. Refer to the data in Required 3. How many stoves would have to be sold at the new selling price to attain a target profit of $79,000 per month? Complete this question by entering your answers in the tabs below. 1 Rebuired 1 Required 2 Required 3 Required 4 What is the break-even point in unit sales and in dollar sales? 2 Break even point in unit sales Break-even point in dollar sales Outback Outfitters sells recreational equipment. One of the company" expenses are $84 per stove, and fixed expenses associated with the Required: 1. What is the break-even point in unit sales and in dollar sales? 2. If the variable expenses per stove increase as a percentage of the s (Assume that the fixed expenses remain unchanged.) 3. At present, the company is selling 14,000 stoves per month. The sale would result in a 25% increase in monthly sales of stoves. Prepare two operating conditions, and one as operations would appear after the pro 4. Refer to the data in Required 3. How many stoves would have to be per month? Complete this question by entering your answers in the tabs belo Required 1 Required 2 Required 3 Required 4 What is the break-even point in unit sales and in dollar sales? Break-even point in unit sales Break-even point in dollar sales Require Outback Outfitters sells recreational equipment. One of th expenses are $84 per stove, and fixed expenses associate Required: 1. What is the break-even point in unit sales and in dollar sa 2. If the variable expenses per stove increase as a percent (Assume that the fixed expenses remain unchanged.) 3. At present, the company is selling 14,000 stoves per mo would result in a 25% increase in monthly sales of stoves. operating conditions, and one as operations would appear 4. Refer to the data in Required 3. How many stoves would per month? Complete this question by entering your answers in th Required 1 Recitired 2 Required 3 Required 4 If the variable expenses per stove increase as a percentage or point? (Assume that the fixed expenses remain unchanged.) Higher break-even point Lower break-even point utback Outfitters sells recreational equipment. One of the com expenses are $84 per stove, and fixed expenses associated wit Required: What is the break-even point in unit sales and in dollar sales? 2. If the variable expenses per stove increase as a percentage o Assume that the fixed expenses remain unchanged.) 3. At present, the company is selling 14,000 stoves per month. T would result in a 25% increase in monthly sales of stoves. Prepar operating conditions, and one as operations would appear after 4. Refer to the data in Required 3. How many stoves would have per month? Complete this question by entering your answers in the tab Required 1 Required 2 Required 3 Required 4 Refer to the data in Required 3. How many stoves would have to be! $79,000 per month? (Round up your final answer to the nearest unit Unit sales needed to attain the target profit

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