Question No. 5-1 In planning its operations for 2011 on the basis of a sales forecast of 6,000,000 ASF Ine. prepared the following estimated data Costs and Expenses Variable 1,600,000 1,400,000 600,000 240,000 60,000 Fixed Direct Material Labor Factory overhead Selling expenses Administrative expenses 900,000 360,000 140,000 Required: a. What would be the amount of sales at the breakeven point? • 2,250,000 • 4,000,000 • 3,500,000 • 5,300,000

Survey of Accounting (Accounting I)
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ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter13: Budgeting And Standard Costs
Section: Chapter Questions
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Question No. 5-1
In planning its operations for 2011 on the basis of a sales forecast of 6,000,000 ASF Ine. prepared the
following estimated data Costs and Expenses
Variable
1,600,000
1,400,000
600,000
240,000
60,000
Fixed
Direct Material
Labor
Factory overhead
Selling expenses
Administrative expenses
900,000
360,000
140,000
Required:
a. What would be the amount of sales at the breakeven point?
• 2,250,000
• 4,000,000
• 3,500,000
• 5,300,000
Transcribed Image Text:Question No. 5-1 In planning its operations for 2011 on the basis of a sales forecast of 6,000,000 ASF Ine. prepared the following estimated data Costs and Expenses Variable 1,600,000 1,400,000 600,000 240,000 60,000 Fixed Direct Material Labor Factory overhead Selling expenses Administrative expenses 900,000 360,000 140,000 Required: a. What would be the amount of sales at the breakeven point? • 2,250,000 • 4,000,000 • 3,500,000 • 5,300,000
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