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please help!! question: what is the minimum price you need to charge to break even if you can sell 8,700 units only? please show work
please help!!
The break-even point (BEP) is the point where a company's revenue equals its costs. This point allows you to know when your firm will start to be profitable. So, BEP is an important reference point which helps you understand the appropriate amount of product units that need to be sold in a fiscal year. The following formula are Break-Even Point = Fixed costs / Contribution Margin Contribution margin = Price - Variable costs You've got a following message. You have 10,000 product units in a warehouse. The message says that you need to sell 87% of the inventory to achieve the break-even point in this fiscal year. Now here is additional information: Fixed costs =$8,700,000; Variable costs =$2,000 1 points What is the minimum price you need to charge to break even if you can sell 8,700 units only (=87% of 10,000 units)? Show your calculation question: what is the minimum price you need to charge to break even if you can sell 8,700 units only?
please show work
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