1. An entrepreneur plans on opening a new store. Their equity investment for equipment, furniture, and remodelling will be $298 000. Variable costs will be 70% of annual revenue. Fixed costs per year will be:
   
3. Calculate the break-even sales level of the store.
4. Calculate the sales level have to be to provide a 10% return on the entrepreneur's investment.

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Account Amount Management and other salaries $43 000 Administrative costs $7 500 Marketing $5.000 Insurance Rent $2 500 $24 000 Depreciation $29 800 Account Amount Management and other salaries $43 000 Administrative costs $7 500 Marketing $5.000 Insurance Rent $2 500 $24 000 Depreciation $29 800

Answer rating: 100% (QA)

Absolutely we can calculate the breakeven sales level for the store Concept The breakeven point is t... View the full answer