Question: Easter Corporation produces class rings to sell to college and high school students. These rings sell for $75 each, and cost $35 each to produce. Easter has fixed costs of $50,000.
[A] Calculate Easter’s break-even point.
[B] How much profit (loss) will Easter have if it sells 1,000 rings and 8,000 rings?
[C] Easter’s president, J. R. D’Angelo, expects an annual profit of $100,000. How many rings must be sold to attain this profit?