ABC Manufacturing Co. manufactures and sells product X. The product sells for $120. The variable costs per

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ABC Manufacturing Co. manufactures and sells product X. The product sells for $120. The variable costs per unit are $72 and fixed expenses are $90,000 per year.

a. What is the breakeven point in units?

b. What is the breakeven point in dollar sales?

c. What does the breakeven point represent? Explain

d. What is the total amount of contribution margin at the breakeven point?

e. What sales level is required to earn a profit of $100,000?

Related Book For answer-question

Managerial Accounting

ISBN: 978-0073379586

2010 Edition

Authors: John J. Wild, Ken W. Shaw

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Posted Date: Feb 11, 2019 10:04 AM

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ABC Manufacturing Co. manufactures and sells product X. The product sells for $120. The variable costs per

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a Break even point in units 9000012072 1875 units b Break even poi... View the full answer

Managerial Accounting

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