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Perform a cost-volume-profit (CVP) analysis for Mazda's new sports car model. Calculate Mazda's break-even point in units and sales revenue for the new sports car,

Perform a cost-volume-profit (CVP) analysis for Mazda's new sports car model.

  • Calculate Mazda's break-even point in units and sales revenue for the new sports car, given the following information:
    • Selling Price per Unit: $50,000
    • Variable Cost per Unit: $30,000
    • Fixed Costs: $2,000,000
  • Determine Mazda's margin of safety in sales revenue and units for the new sports car.
  • Recommend strategies to increase Mazda's profitability based on CVP analysis results.

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