Compute the break-even point in units and in dollars, Accounting Basics

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Compute the break-even point in units and in dollars

Problem

Jenny's Football Jersey Sales, Inc. estimates variable cost to be 30% of sales, and fixed cost to be $200,000. Each Saints T-Shirt has as selling price of $19.00.

A. Compute the break-even point in units and in dollars.
B. Compute the profit in dollars assuming actual sales are $1, 200,000.

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Accounting Basics: Compute the break-even point in units and in dollars

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Accounting Basics: Compute the break-even point in units and in dollars

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