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At what percentage of capacity is the break-even point

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Question - A pen manufacturer makes luxury pens. The pen case costs $7.26 each, the ink holder costs $1.26 each, the spring costs $.07 each and the velvet pen case costs $0.91 each. The plant has general and administrative costs of $55,000 and fixed selling expenses of $37,500. The pens sell of $39.95 each. Plant capacity is 4,000 pens per period. At what percentage of capacity is the break-even point?

Reference no: EM133121781

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