The production manager at Athletix would like to know the break-even point for the company’s goods in sales dollars and units. During the past year, the company earned an income from operations of $69,600. The contribution margin for the year was $120,000 after selling 50,000 units at $4 each. Determine the break-even point in dollars and units.
The production manager at Athletix would like to know the break-even point for the company’s goods in sales dollars and units. During the past year, the company earned an income from operations of $69,600. The contribution margin for the year was $120,000 after selling 50,000 units at $4 each. Determine the break-even point in dollars and units.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The production manager at Athletix would like to know the break-even point for the company’s
goods in sales dollars and units. During the past year, the company earned an income from operations of
$69,600. The contribution margin for the year was $120,000 after selling 50,000 units at $4 each.
Determine the break-even point in dollars and units.
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