Question: Computer break even point in unit and sales for the below information Average selling price 11.00 per toy Average variable costs: Toy production 4.25 per

Computer break even point in unit and sales for the below information Average selling price 11.00 per toy Average variable costs: Toy production 4.25 per toy Selling expense 2.75 per toy Total 7.00 Annual fixed costs: Selling 438,000.00 Administrative 412,000.00 Total 850,000.00

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2. Find out if there are other reference points that can be used as reasonable alternatives.

1. Identify your reference point when making a decision based on an element of risk.

3. If there are reasonable alternatives, think about your decisions based on the different reference points and see if there are any contradictions in the decisions.