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The following data pertains to Shop 48 and is typical of the company's many outlets: Selling price Variable expenses: Invoice cost Sales commission Total
The following data pertains to Shop 48 and is typical of the company's many outlets: Selling price Variable expenses: Invoice cost Sales commission Total variable expenses Per Pair of Shoes $ 20.00 $ 4.50 5.50 $ 10.00 Fixed expenses: Advertising Rent Salaries Annual $ 43,000 30,000 150,000 Total fixed expenses $ 223,000 Required: 6. Refer to the original data. The company is considering eliminating sales commissions entirely in its shops and increasing fixed salaries by $31,200 annually. If this change is made, what will be Shop 48's new break-even point in unit sales and dollar sales? Note: Do not round intermediate calculations. New break-even point in unit sales New break-even point in dollar sales pairs
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