Cicero Manufacturing is growing and to support that growth it is studying three alternative of resources to increase capacity. Use the information below and cost-volume analysis to calculate the Break-Even Point (BEP) in units for each of the capacity alternatives. Show work in the box and the table below and round all answers to integer values. QBEP = Capacity Fixed Revenue Alternative Costs per Unit A B C $1,300 $15.20 $1,650 $15.20 $2.250 $15.20 FC R-v Variable Costs per Unit $5.20 $5.10 $5.00 Break-Even Point
Cicero Manufacturing is growing and to support that growth it is studying three alternative of resources to increase capacity. Use the information below and cost-volume analysis to calculate the Break-Even Point (BEP) in units for each of the capacity alternatives. Show work in the box and the table below and round all answers to integer values. QBEP = Capacity Fixed Revenue Alternative Costs per Unit A B C $1,300 $15.20 $1,650 $15.20 $2.250 $15.20 FC R-v Variable Costs per Unit $5.20 $5.10 $5.00 Break-Even Point
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question

Transcribed Image Text:Cicero Manufacturing is growing and to support that growth it is studying three alternative combinations
of resources to increase capacity. Use the information below and cost-volume analysis to calculate the
Break-Even Point (BEP) in units for each of the capacity alternatives. Show work in the box and the
table below and round all answers to integer values.
QBEP=
Capacity Fixed Revenue
Alternative Costs
per Unit
A
B
C
$1,300 $15.20
$1,650 $15.20
$2,250
$15.20
FC
R-v
Variable
Costs
per Unit
$5.20
$5.10
$5.00
Break-Even Point
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