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Homework: Ch 7 HW Question 3, E7-29A (simil.. Part 2 of 9 HW Score: 33.75%, 3.38 of 10 points Cave - X Data Table Kirby Garage Doors manufactures a premium garage door. Currently, the price and cost data associated with the premium garage door are (Click the icon to view the date.) (Click the icon to view more information.) Read the requirements 2,400 1,000 Average selling price per premium garage door .... $ Average variable manufacturing cost per door...... $ $ Average variable selling cost per door............. $ Total annual fixed costs ......... $ 200 Requirement 1. What is the company's current breakeven in units and in dollars? Begin by identifying the formula to compute the breakeven sales in units using the contribution margin approach. Fixed expenses + Operating income ) 1+ Contribution margin per unit = Breakeven sales in units 240,000 The breakeven point in units is units Print Done 1. What is the company's current breakeven in units and in dollars? 2. If the company expects to sell 400 premium garage doors in the upcoming year, and it does not develop the software control system, what is its expected operating income from premium garage doors? 3. If the software control system were to be developed and implemented, what would be the company's new breakeven point in units and in dollars? 4. If the company expects to sell 400 premium garage doors in the upcoming year, and it develops the software control system, what is its expected operating income from premium garage doors? 5. If the company expects to sell 400 premium garage doors in the upcoming year, do you think the company should implement the software control system? Why or why not? What factors should the company consider? Print Done Help Me Solve This Video Get More Help

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