You are given the data in Problem S7.28: a) What is the break-even point in dollars for

Question:

You are given the data in Problem S7.28:
a) What is the break-even point in dollars for proposal X?
b) What is the break-even point in dollars for proposal Y?


Data from problem 28

Wolfgang Kersten Mfg. intends to increase capacity through the addition of new equipment. Two vendors have presented proposals. The fixed costs for proposal X are $150,000, and for proposal Y, $170,000. The variable cost for X is $120.00, and for Y, $100.00. The revenue generated by each unit is $200.00.

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