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What is the breakeven point in units

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Reference no: EM133118241

Question - Currently Dog corporation sells dog bowls for $50 dollars a bowl and the cost of each bowl is $35. Total fixed costs for the month were $70,000 per month. Management is considering the use of an automated production equipment. If this were done, variable costs would drop to $30 a bowl and fixed costs would increase by an additional $ 5000 a month. What is the breakeven point in units if dog corporation buys the new equipment?

Reference no: EM133118241

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