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You are preparing for the launch of your business. Select financial information of the business is outlined below. This information is based on projections for
You are preparing for the launch of your business. Select financial information of the business is outlined below. This information is based on projections for the company's first year of operations. Revenue per unit $150 Estimated unit sales is 5,000 units per month Cost to produce each unit $80 Rent is $100,000 per month Salaries and wages are $270,000 per month plus sales commissions are 5% paid to sales reps Other operating expenses are $75,000 per month Prior to finalizing your decision as to whether to launch the business, you would like to determine the number of units to obtain breakeven to assess the viability of the business proposition. Calculate the number of units needed to break even
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