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TES: 12.5 mars Question 5 Rydell sells footballs for $ 100 each and incurs variable costs of $70 per football sold. Its fixed costs are

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TES: 12.5 mars Question 5 Rydell sells footballs for $ 100 each and incurs variable costs of $70 per football sold. Its fixed costs are $ 24,000 per month with monthly capacity of 1800 units ( footballs). a. Find out contribution margin ratio. b. Explain how break-even point of Rydell has been worked out 800 units in the following graph. C. Explain how break even point has been worked out at as $ 80000 in the following graph d. Find out profit at 1400 units capacity. $180,000 Total Sales - 160,000 140.000 Break-Even Point (sales of 800 units or $80,000) 120.000 Total Costs 100.000 Dollars 80.000 Profit Area Loss Area 60.000 40.000 20,000 200 400 600 800 1.000 1.200 1,400 1600 1.800 Volume (Number of units produced)

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