What happens to the break-even level


Dodge Company produces flash drives for computers, which it sells for $20 each. Each flash drive costs $6 of variable costs to make. During March, 1,000 drives were sold. Fixed costs for March were $4.20 per unit for a total of $4,200 for the month. If cheaper materials results in a 10% decrease in variable costs, what happens to the break-even level of units per month for Dodge Company?

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Accounting Basics: What happens to the break-even level
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