Kitchen Electrics Sales Patterns and Projections (individual units)

Product Type 2018 2019 _ 2020 (estimated)

1. Irons 9,915,000 9,475,000 9,600,000 2. Coffeemakers 8,200,000 8,500,00 8,800,000 3. Toasters 5,800,000 6,200,000 6,600,000 4. Blenders 4,900,000 6,100,000 5,900,000 5. Can Openers 5,100,000 5,500,000 5,800,000 6. Mixers 4,560,000 4,900,000 5,100,000 7. Frypans 2,975,000 3,300,000 3,500,000 8. Broilers 2,770,000 2,640,000 500,000 9. Corn poppers 1,850,000 2,200,000 2,600,000 10. Slicing Knives 2,500,000 2,100,000 2,000,000

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Variable Costs	Cost/Casea
Transportation	$7.20
Broken Goods	$0.60
Warehousing	$2.00
Parts & Materials	$66.00
Packaging	$6.20
Labor & Overhead	$14.00

Table II Cost Data

Fixed Costs	Cost/Case
Bldg. Mach. & Equip	$9,850,000
Start Up Costs	$1,300,000
Maintenance (annual)	$200,000
Other Expenses (annual)	$100,000

What is the breakeven in dollars?

What market share will Good Foods, Inc. need in order to break even in 2020?

Calculate breakeven with a 5% return on sales.