Unformatted text preview: 1,035,686 units. b) Duo-Products must make a $1.2 million profit before tax to meet this requirement. To do this it must sell 1,372,494 units. c) An increase in variable costs across the board by 10% would increase the average variable cost to $3.72 per unit. For Duo-Products to break even under these conditions it would need to sell 1,144,440 units. d) Duo-Products would have to sell 1,516,615 units to meet both the extra dividends and expected union requirements....
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- Spring '11
- 10%, $720,000, $1.2 million, overall breakeven point, $3.72, Fred Williams