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The following information describes a product expected to be produced and sold by Hadley Company: Selling Price..... $80 per unit Variable costs.... $32 per unit
The following information describes a product expected to be produced and sold by Hadley Company: Selling Price..... $80 per unit Variable costs.... $32 per unit Total Fixed costs.... $630,000 Required: (a) Calculate the contribution margin ratio. (b) Calculate the break-even point in dollar sales. (c) What dollar amount of sales would be necessary to achieve a pretax income of $120,000
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