The annual variable production costs for a plant operates at 70% capacity are $600,000 while the...
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The annual variable production costs for a plant operates at 70% capacity are $600,000 while the sum of the annual fixed charges, overheads costs, and general expenses is $300,000. 1- What is the break-even point in percentage capacity and in units of production per year if the total annual sales are $1,200,000 and the product is sold at $100 per unit? 2- What were the annual gross profit for this plant at 100% and 90%? The annual variable production costs for a plant operates at 70% capacity are $600,000 while the sum of the annual fixed charges, overheads costs, and general expenses is $300,000. 1- What is the break-even point in percentage capacity and in units of production per year if the total annual sales are $1,200,000 and the product is sold at $100 per unit? 2- What were the annual gross profit for this plant at 100% and 90%?
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ANSWER Step 1 I Cost volume profit analysis is the technique used by th... View the full answer
Related Book For
Accounting
ISBN: 978-0324662962
23rd Edition
Authors: Jonathan E. Duchac, James M. Reeve, Carl S. Warren
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