The Branson Corporation is considering a change in its cash-only policy. The new terms would be net one period. The required return is 2 percent per period. Based on the following information, what is the break-even price per unit that should be charged under the new credit policy? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Price per unit Cost per unit Unit sales per month Break-even price Current New Policy ? Policy $86 $46 4,400 $46 4,700

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The Branson Corporation is considering a change in its cash-only policy. The new terms
would be net one period. The required return is 2 percent per period. Based on the
following information, what is the break-even price per unit that should be charged
under the new credit policy? (Do not round intermediate calculations and round your
answer to 2 decimal places, e.g., 32.16.)
Price per unit
Cost per unit
Unit sales per month
Break-even price
Current
Policy
$ 86
$46
4,400
New
Policy
?
$46
4,700
Transcribed Image Text:The Branson Corporation is considering a change in its cash-only policy. The new terms would be net one period. The required return is 2 percent per period. Based on the following information, what is the break-even price per unit that should be charged under the new credit policy? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Price per unit Cost per unit Unit sales per month Break-even price Current Policy $ 86 $46 4,400 New Policy ? $46 4,700
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