Solution-What is the new level of sales necessary to break

What is the new level of sales necessary to break even

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Reference no: EM133033196

Question - The manufacturer of a product that has a variable cost of $2.50 per unit and a total fixed cost of $125,000 wants to determine the level of output necessary to avoid losses.

a. What level of sales is necessary to break even if the product is sold for $4.25?

b. If fixed costs rise to $175,000 what is the new level of sales necessary to break even?

Reference no: EM133033196

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What is the new level of sales necessary to break even

Reference no: EM133033196

Reference no: EM133033196

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