In 2015, X Company had the following selling price and per-unit variable cost information:

Selling price			$152.80
Direct materials			43.30
Direct labor			11.60
Variable overhead			21.30
Variable selling and administrative			12.70

In 2015, fixed overhead costs were $353,000, and fixed selling and administrative costs were $270,000.

In 2016, there are only two expected changes. Direct material costs are expected to increase by 10% per unit, and fixed selling and administrative costs are expected to increase by $20,000. What must unit sales be in order for X Company to break even in 2016?

Answer rating: 100% (QA)

Computation of costs for 2016 Fixedcosts Fixedselling and administrative cost are expected to i... View the full answer