X Company, a merchandiser, had the following income statement for 2018: Sales $176,680 Cost of goods sold 106,064 Gross margin $70,616 Other operating expenses 49,512 Profit $21,104 $90,864 of the cost of goods sold were variable, and $32,812 of the other operating expenses were variable. If cost behavior in 2019 is expected to continue as it did in 2018, what must total sales be in 2019 in order for X Company to break even?

Answer rating: 100% (QA)

To calculate the breakeven point for X Company in 2019 we need to consider both variable and fixed c... View the full answer