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Sigma Manufacturing Co. Scenario: Break-Even Analysis Data: Sales Price per Unit: $20 Variable Cost per Unit: $10 Fixed Costs: $50,000 Requirements: Calculate the break-even point
Sigma Manufacturing Co.
Scenario: Break-Even Analysis
Data:
- Sales Price per Unit: $20
- Variable Cost per Unit: $10
- Fixed Costs: $50,000
Requirements:
- Calculate the break-even point in units and dollars.
- Determine the margin of safety in units and dollars.
- Discuss the implications of the break-even analysis for pricing and cost management.
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