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Perez Corporation produces products that it sells for $14 each. Variable costs per unit are $4, and annual fixed costs are $220,000. Perez desires to

Perez Corporation produces products that it sells for $14 each. Variable costs per unit are $4, and annual fixed costs are $220,000. Perez desires to earn a profit of $20,000.

1.Required Use the equation method to determine the break-even point in units and dollars.

2.Determine the sales volume in units and dollars required to earn the desired profit.

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