If sales were not expected to increase by how much would


A product at the Jennings Company has reasonable sales volumes of 17.500 units. The selling price is $22 per unit, the variable cost is $18 per unit and the fixed cost is $80,000. What is the break-even quantity for this product?

If sales were not expected to increase, by how much would the company have to reduce their variable cost to break even?

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