What would be the amount of sales dollars

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Wallace Inc. prepared the following budgeted data based on a sales forecast of $6,000,000.

                          Variable                     Fixed

Direct materials $1,600,000

Direct labor 1,400,000

Factory overhead 600,000             $ 900,000

Selling expenses 240,000                360,000

Administrative expenses 60,000         140,000

Total $3,900,000                        $1,400,000

Problem 1: What would be the amount of sales dollars at the break-even point?

A) $2,250,000

B) $3,500,000

C) $4,000,000

D) $5,300,000

Reference no: EM132637556

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