Question
The following is Tyler Corporation's contribution format income statement for last month: Sales $4,000,000 Less variable expenses 2,800,000 Contribution margin 1,200,000 Less fixed expenses 720,000
The following is Tyler Corporation's contribution format income statement for last month:
Sales $4,000,000
Less variable expenses 2,800,000
Contribution margin 1,200,000
Less fixed expenses 720,000
Net income $ 480,000
The company has no beginning or ending inventories. A total of 80,000 units were produced and sold last month. What is the company's breakeven in sales dollars? How many units would the company have to sell to attain target profits of $600,000?
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield
13th Edition
9780470374948, 470423684, 470374942, 978-0470423684
