Sales (30,000units) P 150,000 Variable costs 100,800 Contribution margin P 49, 200 Fixed manufacturing costs 24,000 Operating income P 25,200 Interest 18,000 Earnings before taxes P 7,200 Taxes (at 31%) 2,160 Net income P 5,040 Shares outstanding 600 The firms break-even point is a. 4,800 units b. 14,634 units c. 7,142 units d. 18,000 units.
Sales (30,000units) P 150,000
Variable costs 100,800
Contribution margin P 49, 200
Fixed
Operating income P 25,200
Interest 18,000
Earnings before taxes P 7,200
Taxes (at 31%) 2,160
Net income P 5,040
Shares outstanding 600
The firms break-even point is
a. 4,800 units
b. 14,634 units
c. 7,142 units
d. 18,000 units.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps