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Currently, the unit selling price of a product is $300, the unit variable price cost is $225, and the total fixed costs are $720,000. A proposal is being evaluated to increase the unit selling price to $345.

a) compute the current break-even sales (units)

b) Compute the anticipated break-even sales (units) , assuming that the unit selling price is increased and all costs remain constant.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M942468

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