Question - During FY 2016, Bravo Company plans to sell Widgets for $5.00 a unit. Current variable costs are $2.50 a unit and fixed costs are expected to increase to a total of $110,000. Use this information to determine:
1. The number of units of Widgets for Bravo to breakeven.
2. The total dollar value of sales that Bravo must achieve in FY 2016 to breakeven.