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TJ Maxx has fixed costs of $8,000, a selling price of $20 and acontribution margin ratio of 0.4. What is the break-even point for TJ

  1. TJ Maxx has fixed costs of $8,000, a selling price of $20 and acontribution margin ratio of 0.4.
    1. What is the break-even point for TJ Maxx inunits?
    2. What sales would be needed to earn a profit of$4,000?

What would be the profit if fixed costs rose by $2,000 andsales were $40,000?

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