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Miller Manufacturing, Inc. produces electronic components for television circuitry. Variable costs comprise 67% of a product's selling price. The variable costs of producing a component include the following:
Direct material $ 1.83/unitDirect labor $ 6.72/unitVariable factory overhead $ 0.86/unit
Vicki Miller, President, expects to produce 80,000 electronic components and incur $280,000 of fixed costs.
What is Miller Manufacturing's break-even price?
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