Need detail explanation Q. Find the breakeven point and provide the income statement at break even. ** attached image
Need detail explanation Q. Find the breakeven point and provide the income statement at break even. ** attached image
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Need detail explanation
Q. Find the breakeven point and provide the income statement at break even.
** attached image

Transcribed Image Text:Sales....
Cost of goods sold
Fixed Budget Report
For Year Ended December 31, 2019
Direct materials ....
Direct labor.....
Machinery repairs (variable cost)
Depreciation-Plant equipment (straight-line)..
Utilities ($45,000 is variable) ....
Plant management salaries
Gross profit......
Selling expenses
Packaging.....
Shipping ...
Sales salary (fixed annual amount)..
General and administrative expenses
Advertising expense
Salaries......
Entertainment expense
Income from operations
$975,000
225,000
60,000
300,000
195,000
200,000
75,000
105,000
250,000
125,000
241,000
90,000
$3,000,000
1,955,000
1,045,000
430,000
456,000
$ 159,000
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