Calculate company break-even sales in units

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Reference no: EM132899768

Company had the following functional income statement for 2020:

Sales (30,000 units) $300,000

Cost of goods sold:

Direct materials $30,000

Direct labor 22,500

Variable manufacturing overhead 18,750

Fixed factory overhead 20,000 91,250

Gross profit $208,750

Selling and administrative expenses:

Variable $3,750 Fixed 10,000 13,750

Net income $195,000

Problem 1: Calculate Company's break-even sales in units.

Reference no: EM132899768

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