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Calculate the company break-even point in unit sales

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Reference no: EM133037974

Problem - Pierce Phones is considering the introduction of a new model of headphone whose selling price is $25 per unit and whose variable expense is $18 per unit. The company's monthly fixed expense is $10,500.

Required -

1. Calculate the company's break-even point in unit sales.

2. Calculate the company's break-even point in dollar sales.

3. If the company's fixed expenses increase by $600, what would become the new break-even point in unit sales?

Reference no: EM133037974

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