Computing the break-even sales


Assignment:

Currently, the unit selling price of a product is $200, the unit variable cost is $160, and the total fixed costs are $336,000. A proposal is being evaluated to increase the unit selling price to $220.

a. Compute the current break-even sales (units).
b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.

Your answer must be typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.

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Microeconomics: Computing the break-even sales
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