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The following information is given for XYZ, Corp and will be used to answer the next 7 questions Sales price per unit $8.50 Direct labor
The following information is given for XYZ, Corp and will be used to answer the next 7 questions
Sales price per unit $8.50
Direct labor per unit $1.90
Direct materials per unit $2.60
Variable overhead per unit $1.40
Factory overhead that does not change with volume $327,600
General and administrative expenses $194,000
Using the original contribution margin, a reduction in sales of 100 units below break even point will result in a net profit before taxes of:
Question 31 options:
| Exactly zero |
| Negative $3,100 |
| Negative $1,400 |
| Negative $2,600 |
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