Question
TB MC Qu. 18-148 (Algo) Bradley Company manufactures... Bradley Company manufactures a single product that sells for $400 per unit and whose variable costs are
TB MC Qu. 18-148 (Algo) Bradley Company manufactures...
Bradley Company manufactures a single product that sells for $400 per unit and whose variable costs are $288 per unit. The companys annual fixed costs are $1,376,760. The break-even point in dollars of sales is:
Multiple Choice
-
$6,293,760.
-
$2,753,520.
-
$4,917,000.
-
$4,134,416.
-
$1,639,000.
TB MC Qu. 18-153 (Algo) Kent Company manufactures a product...
Kent Company manufactures a product that sells for $55.00. Fixed costs are $294,000 and variable costs are $27.00 per unit. Kent can buy a new production machine that will increase fixed costs by $16,400 per year, but will decrease variable costs by $4.00 per unit. What effect would the purchase of the new machine have on Kent's break-even point in units?
Multiple Choice
-
800 unit increase.
-
800 unit decrease.
-
5,615 unit increase.
-
5,886 unit decrease.
-
No effect on the break-even point in units.
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