Question: Hello I need help with this question please show all work and answers please clearly thanks Prolesm#3 is here Problem #1 is hefe ation in
Prolesm#3 is here
Problem #1 is hefe ation in Problem , if the fixed cost goes up to $8000,000, but the variable cost o per unit, what is the new break-even point in dollars? In units? Would you is reduced to $30 prefer to be in the situation of Problem 1 or Problem 3? Defend your position. Break-even point in Dollars -Fixed cost / Contribution margin ratio Break-even point in Dollars $600,000 (($60-$40) S60) Break-even point in Dollars $1,800,000 Break-even point in units - $1,800,000/$60 30,000 Units 2. Target sales = (Fixed expenses+ target profit) / contribution margin ratio Target sales ($600,000+$80,000) / ((S60-$40)/S60) Target sales- $2,040,000 Target sales in units -$2,040,000/S60 34,000 Units
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