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Reid Company is considering the production of a new product. The expected variable cost is $ 3 0 per unit. Annual fixed costs are expected
Reid Company is considering the production of a new product. The expected variable cost is $ per unit. Annual fixed costs are expected to be $ The anticipated sales price is $ each.
Required
Determine the breakeven point in units and dollars using each of the following:
Use the equation method.
Use the contribution margin per unit approach.
Use the contribution margin ratio approach.
Note: Do not round intermediate calculations. Round "Contribution margin ratio" to decimal place. ie should be entered as
aBreak even point in units:
aBreak even point in dollars:
bcontribution margin per unit:
bbreak even point in units:
bbreak even point in dollars:
ccontribution margin ratio:
cbreak even point in units:
cbreak even point in dollars:
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