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Xi-Tech, Inc. is considering the introduction of a new music player with the following price and cost characteristics: Sales price $ 125 each Variable costs
Xi-Tech, Inc. is considering the introduction of a new music player with the following price and cost characteristics: Sales price $ 125 each Variable costs 75 each Fixed costs 180,000 per year Required: (a) How many units must Xi-Techsell to break even? (b) How many units must Xi-Techsell to make an operating profit of $120,000 for the year? (c) If projected sales are 7,500 units, what is the margin of safety in units?
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