Calculate the breakeven point and graph it b) Sales are expected to grow during 2020 and 2021. The production manager suggests buying machinery to eliminate maquila in one of its processes, the annual expenses for depreciation of the machinery would be of $450,000, and it is also planned to reduce the prime cost to $95. At what level of annual sales should it be advisable to purchase the machinery instead of continuing to fabricate part of the process?

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1 The breakeven point is the level of sales at which total revenue equals total costs To calculate t... View the full answer