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Question - Our job is to produce and sell diet foods. We have got the following impacts in a kind of food production level analysis:
Production Level Unit Cost
I. 40.000 U. 1.80 $
50.000 U. 1.70 $
Assuming the unit sale price as 2.50 $ ,fixed administration expense as 8.600 $ and full production capacity being 55,000 units:
Compute the breakeven point in quantity and in amount, verify the result,
Compute the sale quantity to get a profit of 46.800 $ if possible.
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