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**posted this question once before but all answers were incorrect** Determine the amount of sales (units) that would be necessary under Break-Even Sales Under Present
**posted this question once before but all answers were incorrect**
Determine the amount of sales (units) that would be necessary under Break-Even Sales Under Present and Proposed Conditions Darby Company, operating at full capacity, sold 81,000 units at a price of $114 per unit during the current year. Its income statement for the current year is as follows: Sales Cost of goods sold Gross profit Expenses $9,234,000 4,560,000 $4,674,000 Selling expenses $2,280,000 Administrative exp enses 2,280,000 Total expenses 4,560,000 Income from operations $114,000 The division of costs between fixed and variable is as follows: Variable Fixed Cost of goods sold Selling expenses Administrative expenses Management is considering a plant expansion program that will permit an increase of $798,000 in yearly sales. The expansion will increase fixed costs by $79,800, but will not affect the relationship between sales and variable costs. Required: 70% 30% 25% 50% 50%
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