Question: I need help with the below question based on the chart. Specify the break-even points you determined for achieving different target profit levels. Then, explain
I need help with the below question based on the chart.
Specify the break-even points you determined for achieving different target profit levels. Then, explain and defend the target profits you selected for each area of your business.
| COLLARS | LEASHES | HARNESSES | |||
| Sales Price | $ 20.00 | $ 22.00 | $ 25.00 | ||
| Fixed Costs | $ 3,662 | $ 3,662 | $ 3,835 | ||
| Contribution Margin | $ 10.90 | $ 9.90 | $ 10.40 | ||
| Break-Even Units (round up) | 336.00 | 370.00 | 369.00 | ||
| Target Profit | $ 300.00 | $ 400.00 | $ 500.00 | ||
| Break-Even Units (round up) | 363.00 | 410.00 | 417.00 | ||
| Target Profit | $ 500.00 | $ 600.00 | $ 650.00 | ||
| Break-Even Units (round up) | 382.00 | 430.00 | 431.00 |
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