Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Question 1 (1 point) Which statement best describes the skills of core employees? 4 0/10 points awarded eBook Print References Show correct answers 1. The
Question 1 (1 point) Which statement best describes the skills of core employees?
4
0/10
points awarded
eBook
Print
References
Show correct answers
1.
The equation method yields the required unit sales, Q, as follows:
Sales = Variable expenses + Fixed expenses + Profits
$250Q = $180Q* + $60,000 + $20,000
$70Q = $80,000
Q = $80,000 $70 per unit
Q = 1,143 units
*Variable expense = $250 72% = $180 per unit
2.
The contribution margin yields the required unit sales as follows:
Units sold to attain the target profit
Fixed expenses + Target profit
Contribution margin per unit
= ($60,000 + $25,000)/70
= $1,214 units
Therefore. the company must sell at least 1,215 units to break even.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started