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Break-Even Sales Anheuser-Busch InBev Companies, Inc., reported the following operating information for a recent year: Sales Cost of goods sold Selling, general and administration $9,152,000 $2,288,000 624,000 $2,912,000 6,240,000* Income from operations *Before special items In addition, assume that Anheuser-Busch InBev sold 52,000 barrels of beer during the year. Assume that variable costs were 5%, of the cost of goods sold and 50% of selling, general, and administration expenses. Assume that the remaining costs are fixed. For the following year, assume that Anheuser-Busch InBev expects pricing, variable costs per barrel, and fixed costs to remain constant, except that new distribution and general office facilities are expected to increase fixed costs by $26,500. a. Compute the break-even number of barrels for the current year. Round to the nearest whole barrel x barrels b. Compute the anticipated break-even number of barrels for the following year. Round to the nearest whole barrel barrels Feedback Check My Work a. Fixed costs divided by the unit contribution margin equals break-even point in units. b. Repeat the calculations in (a) using anticipated amounts. Learning Objective 3