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The gas division of Power-U-Up plans to introduce a new gas delivery system based on the following accounting information. Fixed costs per period are $4 236; variable cost per unit is $168; selling price per unit is $211; and capacity per period is 450 units. Determine the break-even point as a percent of capacity if fixed costs are increases to $5 577 and variable costs are reduced to 75% of the selling price. Question 3 options: 23.56% 24.24% 27.21% 21.24%

The gas division of Power-U-Up plans to introduce a new gas delivery system based on the following accounting information. Fixed costs per period are $4 236; variable cost per unit is $168; selling price per unit is $211; and capacity per period is 450 units. Determine the break-even point as a percent of capacity if fixed costs are increases to $5 577 and variable costs are reduced to 75% of the selling price. Question 3 options: 23.56% 24.24% 27.21% 21.24%

Understanding Business
Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
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The gas division of Power-U-Up plans to introduce a new gas delivery system based on the following accounting information. Fixed costs per period are $4 236; variable cost per unit is $168; selling price per unit is $211; and capacity per period is 450 units. Determine the break-even point as a percent of capacity if fixed costs are increases to $5 577 and variable costs are reduced to 75% of the selling price.

Question 3 options:

23.56%

24.24%

27.21%

21.24%

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