Calculate the breakeven point in units for each product. The Company reduces its sales price...

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Accounting

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  1. Calculate the breakeven point in units for each product.
  2. The Company reduces its sales price from $149 per pair to $129 per unit. Calculate the new breakeven point in units.
  3. The Company finds a new supplier for its material. Variable costs will decrease by $10 per unit. Calculate the new breakeven point in units.
  4. The Company plans to advertise on social media. The advertising campaign will increase total fixed costs by $4,000 per month. Calculate the new breakeven point in units.
\begin{tabular}{|c|c|c|c|} \hline \multicolumn{4}{|c|}{ Jax-O-Lantern Company } \\ \hline & Cost of finished products & Tower Light & Tabletop Light \\ \hline Direct material & 50 & 28 & 22 \\ \hline Direct Labor & 40 & 22 & 18 \\ \hline Overhead & $ & Split based on & direct labor cost \\ \hline Fixed Costs & & 100000 & 100000 \\ \hline Retail price & & 149 & 119 \\ \hline \end{tabular}

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