In: Accounting
Mauro Products distributes a single product, a woven basket whose selling price is $12 per unit and whose variable expense is $10 per unit. The company’s monthly fixed expense is $4,600.
1. Calculate the company’s break-even point in unit sales.
2. Calculate the company’s break-even point in dollar sales.
3. If the company's fixed expenses increase by $600, what would become the new break-even point in unit sales? In dollar sales?
1. | Break-even point in unit sales | 2,300selected answer correct | baskets |
2. | Break-even point in dollar sales | $27,600selected answer correct | |
3. | Break-even point in unit sales | 2,300selected answer incorrect | baskets |
Break-even point in dollar sales | $27,600selected answer incorrect |