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Sandy Bank, Inc., makes one model of wooden canoe. and, the information for it follows: Number of canoes produced and sold Total costs Fixed costs
Sandy Bank, Inc., makes one model of wooden canoe. and, the information for it follows: Number of canoes produced and sold Total costs Fixed costs Variable costs Total costs Cost per unit Variable cost per unit Fixed cost per unit 550 750 900 $115,500 $157,500 $189,000 $198,000 $198,000 $198,000 $313,500 $355,500 $387,000 $210.00 $ 210.00 $ 210.00 360.00 264.00 $ 570.00 $ 474.00 220.00 $430.00 Total cost per unit Sandy Bank sells its canoes for $475 each. Required: 1. Suppose that Sandy Bank raises its selling price to $600 per canoe. Calculate its new break-even point in units and in sales dollars. 2. If Sandy Bank sells 1,610 canoes, compute its margin of safety in dollars and as a percentage of sales. (Use the new sales price of $600.) 3. Calculate the number of canoes that Sandy Bank must sell at $600 each to generate $130,000 profit. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Suppose that Sandy Bank raises its selling price to $600 per canoe. Calculate its new break-even point in units and in sales dollars. (Do not round intermediate calculations. Round your final answers to nearest whole number.) New Break-Even Units Break-Even Sales Revenue Canoes Required 1 Required 2 Required 3 If Sandy Bank sells 1,610 canoes, compute its margin of safety in dollars and as a percentage of sales. (Use the new sales price of $600.) (Round your answers to the nearest whole number.) Margin of Safety Percentage of Sales % Complete this question by entering your answers in the tabs below. Required 1 Required 2 Fquired 3 9:36 Calculate the number of canoes that Sandy Bank must sell at $600 each to generate $130,000 profit. (Do not round your intermediate calculations. Round your answer to the nearest whole number.) Target Sales Units Canoes
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