Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of operations: Variable cost per unit: Manufacturing: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses $ $ $ 0273 12 $110,000 $ 50,000 During its first year of operations, Haas produced 40,000 units and sold 40,000 units. During its second year of operations, it produced 55,000 units and sold 30,000 units. In its third year, Haas produced 20,000 units and sold 45,000 units. The selling price of

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Vaibhav

Subject: acounting 

Required:
1. Compute the company's break-even point in units sold.
Break-even unit sales
units
Transcribed Image Text:Required: 1. Compute the company's break-even point in units sold. Break-even unit sales units
Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of
operations:
Variable cost per unit:
Manufacturing:
Direct materials
Direct labour
Variable manufacturing overhead
Variable selling and administrative
Fixed costs per year:
Fixed manufacturing overhead
Fixed selling and administrative expenses
$
$
$
$
20
12
7
3
$110,000
$50,000
During its first year of operations, Haas produced 40,000 units and sold 40,000 units. During its second year of operations, it
produced 55,000 units and sold 30,000 units. In its third year, Haas produced 20,000 units and sold 45,000 units. The selling price of
the company's product is $46 per unit.
Transcribed Image Text:Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of operations: Variable cost per unit: Manufacturing: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses $ $ $ $ 20 12 7 3 $110,000 $50,000 During its first year of operations, Haas produced 40,000 units and sold 40,000 units. During its second year of operations, it produced 55,000 units and sold 30,000 units. In its third year, Haas produced 20,000 units and sold 45,000 units. The selling price of the company's product is $46 per unit.
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