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Q1) Senbet Ventures is thinking of starting new company to manufacture stereos. Sales price would be set at 1.5 times the variable cost per unit; VC/unit is estimated to be $2.50; and fixed costs are evaluated at $120,000. What sales volume would be needed to break even, that is, to have EBIT of zero for stereo business?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M921313

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