Nutri-tress company produces shampoo in individual-use, Financial Accounting

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Nutri-tress company produces shampoo in individual-use

Nutri-Tress Company produces shampoo in individual-use bottle for hotels. Each bottle sells for $0.36. The variable costs for each bottle (materials, labor, and overhead) total $0.27. The total fixed costs are $58,500. During 2008, 830,000 bottles were sold.

1. What is the break-even point in sales dollars?

2. How many units must be sold for Nutri-Tress to earn a profit (operating income) of $36,000 before taxes?

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Financial Accounting: Nutri-tress company produces shampoo in individual-use

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Financial Accounting: Nutri-tress company produces shampoo in individual-use

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