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The Hot Foot Company, a producer of specialty shoes, is in the process of planning next year's operations. The company has asked you to complete

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The Hot Foot Company, a producer of specialty shoes, is in the process of planning next year's operations. The company has asked you to complete several calculations based upon the following information for 80,000 units: Total Per Unit Sales $6.720,000 $ 84.00 Variable costs: 4,224,000 52.80 Cost of goods sold Selling and admin Contribution margin 1.152.000 14.40 1,344,000 16.80 Fixed costs: 576.000 Cost of goods sold Selling and admin. Operating income 337.920 $ 430,080 1. How many units must be sold to breakeven? 2. How many units must be sold for CVP Card Company to double its current operating income? In order to increase production, the company will need to purchase additional equipment that will increase total fixed expenses by $192,000 and increase total variable expenses by 10%. 3. Calculate the new variable cost per unit. 4. How many units must be sold to breakeven if the equipment is purchased

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