Answered step by step
Verified Expert Solution
Question
1 Approved Answer
unit variable data (average) selling price= $400 manufacturing cost= $240 sale commission = $10 annual fixed cost rent= 15000 salaries= 100000 selling and administrative cost=
unit variable data (average) selling price= $400 manufacturing cost= $240 sale commission = $10
annual fixed cost rent= 15000 salaries= 100000 selling and administrative cost= 70000 other fixed cost= 40000
(a) Calculate the annual breakeven point in terms of: units sold (ii) revenue (b) If 1,000 units are sold, determine the operating profit (loss) of the store (c) If the sales assistants were given an increase of $31,000 in their fixed salaries and no sales commissions were paid, calculate the annual breakeven point in terms of: (0) units sold (ni) revenue (d) If the outlet supervisor were paid $15 commission per unit in addition to his fixed salary on each unit sold in excess of the breakeven number of units, determine the operating income for Hunan's store if 2,200 units were soldStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started