What will be the monthly breakeven level for new business

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A new specialty organic muffin bakery is being planned in an Ontario town (population 24,000). Fixed costs will average only $180,000/month. Each muffin will sell for $2.50. Contribution will be 7.5 cents per muffin. There is only one other established bakery in town that makes basic muffins also selling for $2.50.

a) What will be the monthly breakeven level for this new business?

Reference no: EM132179347

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