Question

The Warren Watch Company sells watches for $21, fixed costs are $145,000, and variable costs are $10 per watch.

1. What is the firm's gain or loss at sales of 5,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent.
   $
   
   What is the firm's gain or loss at sales of 19,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent.
   $
2. What is the break-even point (unit sales)? Round your answer to the nearest whole number.
   units
3. What would happen to the break-even point if the selling price was raised to $32?
   -Select one of the following:
   1. -The result is that the break-even point is higher.
   2. The result is that the break-even point remains unchanged.
   3.The result is that the break-even point is lower. Item 4
4. What would happen to the break-even point if the selling price was raised to $32 but variable costs rose to $25 a unit? Round your answer to the nearest whole number.
   1. -Select one of the following:
      1. The result is that the break-even point decreases.
      ​​​​2. The result is that the break-even point remains unchanged.
      3.The result is that the break-even point increases. Item 5

*****PLEASE LABEL ALL 5 ANSWERS VERY. CLEARLY***** AND I WILL GIVE A GOOD REVIEW

Answer 1

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