Consider the following income statement and answer the questions that follow Sales (100 units) ..... $200 Variable
Question:
Consider the following income statement and answer the questions that follow
Sales (100 units) ..... $200
Variable costs ($.80 ea) .. 80
Fixed Costs ........ 20
EBIT .......... 100
Interest Expense ...... 30
EBT .......... 70
Income tax ....... 24
Net Income ....... 46
a. What is the firm’s Breakeven Point in units?
b. Draw a breakeven chart for this firm.
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Related Book For
Understanding financial statements
ISBN: 978-0136086246
9th Edition
Authors: Lyn M. Fraser, Aileen Ormiston
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