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Outback Outfitters sells recreational equipment. One of the comparyy's products, a small camp stove, sells for $90 per unit. Varlable expenses are $63 per stove,

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Outback Outfitters sells recreational equipment. One of the comparyy's products, a small camp stove, sells for $90 per unit. Varlable expenses are $63 per stove, and fixed expenses associated with the stove total $113,400 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 seiling price, will it result in a higher or a iower break-even point? (Assume that the fixed exponses remain unchanged) 3. At presert, the company is selling 19,000 stoves per month. The sales manager is corvinced that a 10 so reduction in the selling phice 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 Requited 3. How many stoves would have to be sold at the new selling price to attain a target profit of $74.000 per month? Complete this question by entering your answers in the tabs below. What is the break-even polnt in unit sales and in dotlar sales

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