Mango LLC sells its product for $60 and has variable cost of $30 per unit. The total fixed costs are $27,000. What will be the effect on the breakeven point in units if variable cost increases by $5 due to an increase in the cost of direct materials? (Round your answer up to the nearest whole unit.) It will increase by 177 units. O It will increase by 180 units. O It will decrease by 177 units. It will decrease by 180 units.
Mango LLC sells its product for $60 and has variable cost of $30 per unit. The total fixed costs are $27,000. What will be the effect on the breakeven point in units if variable cost increases by $5 due to an increase in the cost of direct materials? (Round your answer up to the nearest whole unit.) It will increase by 177 units. O It will increase by 180 units. O It will decrease by 177 units. It will decrease by 180 units.
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter7: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 46E: Lotts Company produces and sells one product. The selling price is 10, and the unit variable cost is...
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