What is the overall sales revenue of Standlar at break-even point?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Standlar Company makes and sells wireless speakers. The price of the standard model is $360 and its variable expenses are $210. The price of the deluxe model is $500 and its variable expenses are $300. The price of the superior model is $1,600 and its variable expense per unit is $600. The total fixed expenses are $300,000. Generally, Standlar sells 8 standard models and 4 deluxe models for every superior model sold. What is the overall sales revenue of Standlar at break-even point?
a.$778,800
b.$480,000
c.$648,000
d.$387,200
e.$550,000
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