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Problem 6 - 2 6 ( Static ) CVP Applications; Break - Even Analysis; Graphing [ LO 6 - 1 , L 0 6 -
Problem Static CVP Applications; BreakEven Analysis; Graphing LO L L LO
The following information applies to the questions displayed below.
The Fashion Shoe Company operates a chain of women's shoe shops that carry many styles of shoes that are all sold at
the same price. Sales personnel in the shops are paid a sales commission on each pair of shoes sold plus a small base
salary.
The following data pertains to Shop and is typical of the company's many outlets:
Problem Static Part
The company is considering paying the Shop store manager an incentive commission of cents per pair of shoes in addition to
the salesperson's commission If this change is made, what will be the new breakeven point in unit sales and dollar sales? Do not
round intermediate calculations. Round "New breakeven point in unit sales" up to the nearest whole unit and round "New break
even point in dollar sales" to the nearest whole dollar.
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