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Please solve for A and B with no scratch paper! Homework: Chapt... Question 3, Problem 12-... Part 1 of 2 HW Score: 76%, 19 of
Please solve for A and B with no scratch paper!
Homework: Chapt... Question 3, Problem 12-... Part 1 of 2 HW Score: 76%, 19 of 25 points O Points: 0 of 3 Save (Break-even point and selling price) Specialty Steel, Inc. will manufacture and sell 180.000 units next year. Fixed costs will total $290,000, and variable costs will be 45 percent of sales. a. The firm wants to achieve a level of earnings before interest and taxes of $270,000. What selling price per unit is necessary to achieve this result? b. Set up a pro forma income statement to verify your solution to part a. a. What selling price per unit is necessary to achieve a level of earnings before interest and taxes of $270,000? (Round to three decimal places.)Step by Step Solution
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