Cohen Company produces and sells socks. Variable costs are $6 per pair, and fixed costs for the
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Question:
Cohen Company produces and sells socks. Variable costs are $6 per pair, and fixed costs for the year total $75,000. The selling price is $10 per pair.
Required
Calculate the following:
1. The break even point in units.
2. The break even point in sales dollars.
3. The units required to make a before-tax profit of $40,000.
4. The sales in dollars required to make a before-tax profit of $35,000.
5. The sales, in units and in dollars. required to make an after-tax profit of $25,000 given a tax rate of 30%.
Related Book For
Cost Management A Strategic Emphasis
ISBN: 978-0078025532
6th edition
Authors: Edward Blocher, David Stout, Paul Juras, Gary Cokins
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