Find the break-even point for the division

Reference no: EM13189254

A division of Carter Enterprises produces "Personal Income Tax" diaries. Each diary sells for $9. The monthly fixed costs incurred by the division are $20,000, and the variable cost of producing each diary is $4.

(a) Find the break-even point for the division.
(x, y) = ( , )

(b) What should be the level of sales be in order for the division to realize a 16% profit over the cost of making the diaries? (Round your answer to the nearest whole number.)

Reference no: EM13189254

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