Given data:Fixed Factory Overhead Cost = 50,000 dollarsFixed Selling Overheads Cost = 10,000 dollarsVariable Manufacturing Cost per unit = 13Variable Selling Cost per unit = 5Selling Price per unit = 35.Compute(a) the break-even point in terms of sales value(b) number of units that must be sold to earn a profit of 80,000 dollars Given data:Fixed Factory Overhead Cost = 50,000 dollarsFixed Selling Overheads Cost = 10,000 dollarsVariable Manufacturing Cost per unit = 13Variable Selling Cost per unit = 5Selling Price per unit = 35.Compute(a) the break-even point in terms of sales value(b) number of units that must be sold to earn a profit of 80,000 dollars

A) The break-even point in terms of sales value Break-Even point (sales dollars) = Total Fixed Costs…

data: Fixed Factory Overhead Cost = 50,000 dollars Fixed Selling Overheads Cost = 10,000 dollars Variable Manufacturing Cost per unit = 13 Variable Selling Cost per unit = 5 Selling Price per unit = 35. Compute (a) the break-even point in terms of sales value (b) number of units that must be sold to earn a profit of 80,000 dollars

data: Fixed Factory Overhead Cost = 50,000 dollars Fixed Selling Overheads Cost = 10,000 dollars Variable Manufacturing Cost per unit = 13 Variable Selling Cost per unit = 5 Selling Price per unit = 35. Compute (a) the break-even point in terms of sales value (b) number of units that must be sold to earn a profit of 80,000 dollars

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter9: Applications Of Cost Theory

Section: Chapter Questions

Problem 5E

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