Assume Touch of Gray Salon, a Berkeley hair salon provides various hair styling services, including cuts, perms and shaves. Annual fixed costs are $225,000 and variable costs are 45% of sales revenue. Last year’s revenue totaled $450,000. Required: Determine the break-even point in sales dollars Determine the sales dollars required for an annual pretax profit of $200,000

Assume Touch of Gray Salon, a Berkeley hair salon provides various hair styling services, including cuts, perms and shaves. Annual fixed costs are $225,000 and variable costs are 45% of sales revenue. Last year’s revenue totaled $450,000. Required: Determine the break-even point in sales dollars Determine the sales dollars required for an annual pretax profit of $200,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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