A Problem 21-5A B C Question 1 Unit Selling Price Unit Variable Cost Unit Contribution Margin Break-even Sales (Units) Question 2 1,612 2,418 Question 3 Unit Selling Price Unit Variable Cost Unit Contribution Margin Break-even Sales (Units) 1,922 1,922 D $620 4,030 units of laptops units of tablets $650 3,844 units of laptops units of tablets E
A Problem 21-5A B C Question 1 Unit Selling Price Unit Variable Cost Unit Contribution Margin Break-even Sales (Units) Question 2 1,612 2,418 Question 3 Unit Selling Price Unit Variable Cost Unit Contribution Margin Break-even Sales (Units) 1,922 1,922 D $620 4,030 units of laptops units of tablets $650 3,844 units of laptops units of tablets E
Accounting (Text Only)
26th Edition
ISBN:9781285743615
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter21: Cost Behavior And Cost-volume-profit Analysis
Section: Chapter Questions
Problem 21.17EX
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Question
Please read the intructions for 21-5A, and answer the missing boxes on the page 2.
thanks for your time!
Expert Solution
Step 1
BREAKEVEN POINT
Break Even means the volume of production or sales where there is no profit or loss.
In other words, Break Even Point is the volume of production or sales where total costs are equal to revenue.
Breakeven Point in Units
= Fixed Cost ÷ Contribution Margin Per Unit
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