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The condensed income statement for the Carla Vista and Paul partnership for 2020 is as follows. Carla Vista and Paul Company Income Statement For the
The condensed income statement for the Carla Vista and Paul partnership for 2020 is as follows.
Carla Vista and Paul Company Income Statement For the Year Ended December 31, 2020 | |||||
Sales (270,000 units) | $1,350,000 | ||||
Cost of goods sold | 900,000 | ||||
Gross profit | 450,000 | ||||
Operating expenses | |||||
Selling | $270,000 | ||||
Administrative | 189,000 | ||||
459,000 | |||||
Net loss | $(9,000 | ) |
A cost behavior analysis indicates that 75% of the cost of goods sold are variable, 42% of the selling expenses are variable, and 40% of the administrative expenses are variable.Compute the break-even point in total sales dollars for 2020. (Round intermediate calculations to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 2,520.)
Break-even point in dollars | $ |
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