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Break-Even Sales Under Present and Proposed Conditions Darby Compary, operating at full capacity, sold 159,800...

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Accounting

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Break-Even Sales Under Present and Proposed Conditions Darby Compary, operating at full capacity, sold 159,800 units at a price of $84 per unet during the current year. Its income statement is as follows: The division of costs between variable and fixed is as follows: Management is considering a plant expansion program for the following vear that will permit an increase of $1,092,000 in yearly sales, The expansion wil increase fixed cost $145,600, but will not affect the relationship between sales and vartable costs. Required: Break-Even Sales Under Present and Proposed Conditions Darby Compary, operating at full capacity, sold 159,800 units at a price of $84 per unet during the current year. Its income statement is as follows: The division of costs between variable and fixed is as follows: Management is considering a plant expansion program for the following vear that will permit an increase of $1,092,000 in yearly sales, The expansion wil increase fixed cost $145,600, but will not affect the relationship between sales and vartable costs. Required

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