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Tom's Sports Wear is a retaieler of sports hats located in Allants, Georgia. Although Torn's carries numerous styles of sports hats, each hat has approximately
Tom's Sports Wear is a retaieler of sports hats located in Allants, Georgia. Although Torn's carries numerous styles of sports hats, each hat has approximately the same price and invoice purchase cost, as shown below. Sales personnel receive targe commissions to encourage them to be more aggressive in their sales efforts. Currently the economy of Atlanta is really humming, and sales growh at Tom's has been great. However, the business is very competitive, and Tom has relied on its knowledgeable and courteous staff to attract and retain customers, whe otherwise might go to other sports wear stores. Also, because of the rapid growth in sales, Tom is finding it more difficult to manage certain aspects of the business, such as restocking of inventory and hiring and training new salespeople. The annual breakeven point in dollar sales is colculated to be: (Do not round Intermediate calcutations.)
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