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Connect https:/ html?isReg-true&retumUrl-https;%3A%2F%2Fconnect.mheducation.com%2F Help Save & Exit Subr Mauro Products distributes a single product, a woven basket whose selling price is $16 per unit and whose variable expense is $12 per unit. The company's monthly fixed expense is $5,600. Required: 1. Calculate the company's break-even point in unit sales 2 Calculate the company's break-even point in dollar sales. (Do not round intermediate calculations.) 3. If the company's fixed expenses increase by $600, what would become the new break even point in unit sales? In dollar sales? (Do not round intermediate calculations.) 1. Break-even point in unit sales 2. Break-even point in dollar sales 3. Break-even point in unit sales baskets baskets Break-even point in dollar sales search 9:

Explanation / Answer

1. Break-even point in unit sales = $5,600 / ($16 - $12) = 1,400 baskets

2. Break-even point in dollar sales = 1,400 baskets * $16 = $22,400

3. Break-even point in unit sales = ($5,600 + $600) / ($16 - $12) = 1,550 baskets

Break-even point in dollar sales = 1,550 baskets * $16 = $24,800

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