Mauro Products distributes a single product, a woven basket whose selling price is $25 per unit and whose variable expense is $19 per unit. The company's monthly fixed expense is $ 15,600. Required: Calculate the company's break - even point in unit sales. Calculate the company's break - even point in dollar sales. Note: Do not round intermediate calculations. If the company's fixed expenses increase by $600, what would become the new break - even point in unit sales? In dollar sales? Note: Do not round intermediate calculations.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 4PB: West Island distributes a single product. The companys sales and expenses for the month of June are...
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Mauro Products distributes a single product, a woven basket whose selling price is $25 per
unit and whose variable expense is $19 per unit. The company's monthly fixed expense is $
15,600. Required: Calculate the company's break - even point in unit sales. Calculate the
company's break - even point in dollar sales. Note: Do not round intermediate calculations. If
the company's fixed expenses increase by $600, what would become the new break - even
point in unit sales? In dollar sales? Note: Do not round intermediate calculations.
Transcribed Image Text:Mauro Products distributes a single product, a woven basket whose selling price is $25 per unit and whose variable expense is $19 per unit. The company's monthly fixed expense is $ 15,600. Required: Calculate the company's break - even point in unit sales. Calculate the company's break - even point in dollar sales. Note: Do not round intermediate calculations. If the company's fixed expenses increase by $600, what would become the new break - even point in unit sales? In dollar sales? Note: Do not round intermediate calculations.
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