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Determine the break-even sales for the past year

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Question

For the past year, Cline Company had fixed costs of $6,552,000, a unit variable cost of $444, and a unit selling price of $600. For the coming year, no changes are expected in revenues and costs except that a new wage contract will increase variable costs by $6 per unit.

a. Determine the break-even sales (in units) for the past year.

b. Determine the break-even sales (in units) for the coming year.

Reference no: EM132368166

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