Break-even point units
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the
relevant range of production is 500 units to 1,500 units):
Sales
$ 45,000
Variable expenses
31,500
Contribution margin
Fixed expenses
13,500
8,640
Net operating income
4,860
8. What is the break-even point in unit sales?
Break-even point
units](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F21d2411b-c4eb-4e7c-9735-0f7d428495aa%2F6aeeba3f-ff07-4b87-a8a8-b75a55cfcb70%2F5u90cyh_processed.png&w=3840&q=75)
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Required information
[The following information applies to the questions displayed below.]
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the
relevant range of production is 500 units to 1,500 units):
Sales
$ 45,000
Variable expenses
31,500
Contribution margin
Fixed expenses
13,500
8,640
Net operating income
4,860
8. What is the break-even point in unit sales?
Break-even point
units
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