In additions assume that anheuser-busch inbev sold 200

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Reference no: EM13581533

Anheuser-Busch InBev Companies, Inc., reported the following operating information for a recent year (in millions):

Net sales: $23, 507
Cost of good sold: $10,336
Selling,general and administration: $ 7,831
$18,167

Income from operations $ 5,340 (before special items)

In additions, assume that Anheuser-Busch InBev sold 200 million barrels of beer during the year. Assume that variable costs were 75% of the cost of good sold and 40% of selling, general and administration expenses. Assume that the remaining cost are fixed. For the following year, asumme that Anheuser-Busch in Bev expect pricing, variable costs per barrel, and fixed costs to remain constant, expect that new distribution and general office facilities are expected to increase fixed costs by $ 225 million.
a) Compute the break-even number of barrels for the current year. note: for the selling price per barrel and variable costs per barrrel, round to the nearest cent. Also, round the break-even to the nearest barrel.

Reference no: EM13581533

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