Any manufacturing company has costs which include fixed costs such as plant overhead, product design, setup, and promotion; and variable costs that depend on the number of items produced. The revenue is the amount of money received from the sale of its product. The company breaks even if the revenue is equal to the cost. A company manufactures dog leashes that sell for $18.13, including shipping and handling. The monthly fixed costs (advertising, rent, etc.) are $22,920 and the variable costs (materials, shipping, etc.) are $9.78 per leash. How many leashes must be produced and sold each month for the company to break even? leashes. Round to the nearest leash.
Any manufacturing company has costs which include fixed costs such as plant overhead, product design, setup, and promotion; and variable costs that depend on the number of items produced. The revenue is the amount of money received from the sale of its product. The company breaks even if the revenue is equal to the cost. A company manufactures dog leashes that sell for $18.13, including shipping and handling. The monthly fixed costs (advertising, rent, etc.) are $22,920 and the variable costs (materials, shipping, etc.) are $9.78 per leash. How many leashes must be produced and sold each month for the company to break even? leashes. Round to the nearest leash.
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter3: Cost Behavior
Section: Chapter Questions
Problem 10E: SmokeCity, Inc., manufactures barbeque smokers. Based on past experience, SmokeCity has found that...
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Any manufacturing company has costs which include fixed costs such as plant overhead, product design, setup, and promotion; and variable costs that depend on the number of items produced. The revenue is the amount of money received from the sale of its product. The company breaks even if the revenue is equal to the cost.
A company manufactures dog leashes that sell for $18.13, including shipping and handling. The monthly fixed costs (advertising, rent, etc.) are $22,920 and the variable costs (materials, shipping, etc.) are $9.78 per leash. How many leashes must be produced and sold each month for the company to break even?
leashes. Round to the nearest leash.
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