Halifax Products sells a product for $118. Variable costs per unit are $67, and monthly fixed costs are $168,300. a. What is the break-even point in units? Break-Even Point units b. How many units would need to be sold to earn a target profit of $102,000? Total Required Sales units c. Assuming they achleve the level of sales requlred in part b, what is the margin of safety in sales dollars? Margin of Safety

Cornerstones of Cost Management (Cornerstones Series)
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ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
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Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
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Halifax Products sells a product for $118. Variable costs per unit are $67, and monthly fixed costs are $168,300.
a. What is the break-even point in units?
Break-Even Point
units
b. How many units would need to be sold to earn a target profit of $102,000?
Total Required Sales
units
c. Assuming they achieve the level of sales required in part b, what is the margin of safety in sales dollars?
Margin of Safety
Transcribed Image Text:Halifax Products sells a product for $118. Variable costs per unit are $67, and monthly fixed costs are $168,300. a. What is the break-even point in units? Break-Even Point units b. How many units would need to be sold to earn a target profit of $102,000? Total Required Sales units c. Assuming they achieve the level of sales required in part b, what is the margin of safety in sales dollars? Margin of Safety
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