Answer to Question #90962 in Other Other for vivian

Question #90962
sales(29,000 units) shs 1,218,000 less variable cost 812,000 contribution margin 406,000 less fixed expenses 300,000 net income 106,000 1.compute the break even point in units and sales 2.the margin of safety. 3.suppose it increases fixed cost by 250,000 per year but lower variable cost to 45% of sales, units sold will remain unchanged. prepare a budget income statement assuming this investment is made. what is the new break even point in units and sales, if the investment is made?
Expert's answer
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