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For the coming year, Paladin Inc. anticipates fixed costs of $120,000, a unit variable cost...

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Accounting

For the coming year, Paladin Inc. anticipates fixed costs of $120,000, a unit variable cost of $60, and a unit selling price of $90. The maximum sales within the relevant range are $900,000. (a) Construct a cost-volume-profit chart. (b) Estimate the break-even sales (dollars) by using the cost-volume-profit chart constructed in part (a). (c) What is the main advantage of presenting the cost-volume-profit analysis in graphic form rather than equation form?

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