Question: Capricio Enterprises distributes a single product whose selling price is $19 and whose variable expense is $15 per unit. The companys fixed expense is $12,000

Capricio Enterprises distributes a single product whose selling price is $19 and whose variable expense is $15 per unit. The company’s fixed expense is $12,000 per month.


Required:

1. Prepare a profit graph for the company up to a sales level of 4,000 units.

2. Estimate the company’s break-even point in unit sales using your profit graph.

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