Author Question: Last year a printing company had total sales of $37 500. The total of its variable costs was $ 15 ... (Read 141 times)

Charlie · **on:** Jun 7, 2019

Question 1

Priest and Sons, a local manufacturer of a product that sells for $13.50 per unit. Variable cost per unit is $7.85 and fixed cost per period is $1 220. Capacity per period is 1100 units.
Perform a break-even analysis showing
a) an algebraic statement of
(i) the revenue function;
(ii) the cost function;
(iii) calculate the break-even point in units.
b) a detailed break-even chart.

Question 2

Last year a printing company had total sales of $37 500. The total of its variable costs was $ 15 000, and fixed costs

Capacity is at sales maximum of $50 000.
a) Calculate the break-even point in
(i) dollars of sales
(ii) as a percent of capacity
b) Draw a detailed break-even chart

Sophiapenny · **Reply #1 on:** Jun 7, 2019

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