Solved: Present breakeven point in revenues, Accounting Basics

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Present breakeven point in revenues

Problem: The Doral Company manufactures and sells pens. Currently, 5,000,000 units are sold per year at $0.50 per unit. Fixed costs are $900,000 per year. Variable costs are $0.30 per unit.

Q1. What is the present operating income for a year?

Q2. What is the present breakeven point in revenues?

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Accounting Basics: Present breakeven point in revenues

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Accounting Basics: Present breakeven point in revenues

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