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Random day Company manufactures and sell alarm clocks. The company has annual fixed costs of $3,920,000. The alarm clocks sell for $60 each. The variable
Random day Company manufactures and sell alarm clocks. The company has annual fixed costs of $3,920,000. The alarm clocks sell for $60 each. The variable cost per alarm clock is $32 Part A: How many alarm clocks must be sold each year to break even? Part B: How many alarm clocks must be sold each year to enable the company to reach a target net income of $5,000,000? Part C: If the company sold 217,000 alarm clocks per year, what is the company's margin of safety in sales dollars? Can you show how you got these answers. thank you!
Random day Company manufactures and sell alarm clocks. The company has annual fixed costs of $3,920,000. The alarm clocks sell for $60 each. The variable cost per alarm clock is $32
Part A: How many alarm clocks must be sold each year to break even?
Part B: How many alarm clocks must be sold each year to enable the company to reach
a target net income of $5,000,000?
Part C: If the company sold 217,000 alarm clocks per year, what is the company's margin
of safety in sales dollars?
Can you show how you got these answers. thank you!
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