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saggin2454
15.02.2021 •
Business
Marchete Company produces a single product. They have recently received the results of a market survey that indicates that they can increase the retail price of their product by 10% without losing customers or market share. All other costs will remain unchanged. Their most recent CVP analysis is presented below. Current Units sold 1,000 Sales Price per Unit $140 Variable Cost per Unit $97 Contribution Margin per Unit $43 Fixed Costs $36,464 Break-Even (in units) 848 Break-Even (in dollars) $118,720 Sales $140,000 Variable Costs $97,000 Contribution Margin $43,000 Fixed Costs $36,464 Net Income (loss) $6,536 If they enact the 10% price increase, what will be their new break-even point in units and dollars
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Ответ:
The new breakeven point = 640 units
New breakeven point in dollars = $98,560
Explanation:
if price increases by 105 from $140 to $154, their contribution margin will increase from $43 to $57 per unit (assuming all costs remain the same).
The new breakeven point = $36,464 / $57 = 639.72 ≈ 640 units (round up)
New breakeven point in dollars = 640 x $154 = $98,560
Ответ:
dude its b thats easy and yes im sure 4 units down and sense its not reflection then thats the answer