Book1 - $33.25 Expected unit sales $200,000 Target...

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BREAK -EVEN ANALYSIS Production cost Fixed Cost Variable Cost Direct Material $10.00 Direct Labor $8.25 Indirect Production Cost $247,000 $3.00 Selling Expense $200,000 $1.50 Advertising $20,000 Miscellaneous selling expense $50,000 General expenses: Office salaries $100,000 Supplies $6,000 $0.50 Miscellaneous general expense $15,000 Totals $638,000 $23.25 Sales and Income data: Selling price per unit
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Unformatted text preview: $33.25 Expected unit sales $200,000 Target operating income for the period $33,000 Result: Contribution margin per unit $10.00 Unit sales at break-even point 10,000,000 Dollar sales at break-even point 100,000,000 Dollar sales at expected level 10,000,000 Expected operating income 626,000 Unit sales at target operating income 110,000 Dollar sales at target operating income 3,657,500...
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This note was uploaded on 12/17/2011 for the course ECED 101 taught by Professor Wilson during the Spring '11 term at Southern Arkansas University Tech.

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