Question
The Warren Watch Company sells watches for $22, fixed costs are $130,000, and variable costs are $10 per watch. What is the firm's gain or
The Warren Watch Company sells watches for $22, fixed costs are $130,000, and variable costs are $10 per watch.
What is the firm's gain or loss at sales of 10,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent. $ What is the firm's gain or loss at sales of 20,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent. $
What is the break-even point (unit sales)? Round your answer to the nearest whole number. units
What would happen to the break-even point if the selling price was raised to $33? The result is that the break-even point remains unchanged.
The result is that the break-even point is lower.
The result is that the break-even point is higher.
What would happen to the break-even point if the selling price was raised to $33 but variable costs rose to $21 a unit? Round your answer to the nearest whole number. The result is that the break-even point remains unchanged.
The result is that the break-even point increases.
The result is that the break-even point decreases.
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