What will be the resulting percentage change in ebit

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Question - The Poseidon Swim Company produces swim trunks. The average selling price for one of their swim trunks is $77.95. The variable cost per unit is $25.66, Poseidon Swim has average fixed costs per year of $8,270.

Assume that current level of sales is 372 units. What will be the resulting percentage change in EBIT if they expect units sold to changes by -3.8 percent?

Reference no: EM132801910

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