How many cakes must be sold to earn a monthly profit

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Reference no: EM13938300

Gabby's Wedding Cakes creates elaborate wedding cakes. Each cake sells for $600.The variable cost of making the cakes is $250, and the fixed cost per month is $7,700.

Required:

a. Calculate the break even point for a month in units.
b. How many cakes must be sold to earn a monthly profit of $10,000? 

Reference no: EM13938300

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