Last year Minden Company introduced a new product and sold 25,100 units of it a...

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Accounting

Last year Minden Company introduced a new product and sold 25,100 units of it a price
of $100 per unit. The product's variable expenses are $70 per unit and its fixed expenses
are $830,700 per year.
Required:
What was this product's net operating income (loss) last year?
What is the product's break-even point in unit sales and dollar sales?
Assume the company has conducted a marketing study that estimates it can increase
annual sales of this product by 5,000 units for each $2 reduction in its selling price. If the
company will only consider price reductions in increments of $2(e.g., $68,$66, etc.),
what is the maximum annual profit that it can earn on this product? What sales volume
and selling price per unit generate the maximum profit?
What would be the break-even point in unit sales and in dollar sales using the selling
price that you determined in requirement 3?
Complete this question by entering your answers in the tabs below.
Required 1
What was this product's net operating income (loss) last year?
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