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Currently the unit selling price of a product is $300, the unit variable cost is $225, and the total fixed costs are $720,000. A proposal is being evaluated to increase the unit selling price to $345
a. Compute the current break-even sales (units)
b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.
Top management of PFC International would like the Heating Division to transfer 15,000 heating units to another division within the company at a price of $29. The Heating Division is operating at full capacity. Illustrate what is the minimum transf..
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