Solution-How many units will Gay and Joy need to sell to

How many units will Gay and Joy need to sell to breakeven

Reference no: EM132490935

Question - Gay and Joy developed a neat Bento box for children. The shape of the containers encourages healthy eating and it is very popular. They have been paying another company to manufacture the boxes for them but are interested in manufacturing the boxes themselves. They've developed the following cost estimates:

Sales (100,000 units)	$1,000,000
Costs:
	Fixed	Variable
Raw Materials	$0	$300,000
Direct Labor	0	200,000
Factory Costs	100,000	150,000
Selling and Administrative Costs	110,000	50,000
Total Costs	$210,000	$700,000
Operating Income	$90,000

Required - How many units will Gay and Joy need to sell to breakeven?

Reference no: EM132490935

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How many units will Gay and Joy need to sell to breakeven

Reference no: EM132490935

Reference no: EM132490935

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