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Mauro Products distributes a single product, a woven basket whose selling price is $15 and whose...

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Question

Accounting

Mauro Products distributes a single product, a woven basketwhose selling price is $15 and whose variable expense is $12 perunit. The company's monthly fixed expense is $4,200.

Required:

  1. Solve for the company's break-even point in unit sales usingthe equation method.
  2. Solve for the company's break-even point in sales dollars usingthe equation method and the CM ratio.
  3. Solve for the company's break-even point in unit sales usingthe formula method.
  4. Solve for the company's break-even point in sales dollars usingthe formula method and the CM ratio.

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