by Jen on November 10th, 2009

Jen

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The following information is available for ABC Company Total variable cost =[ 2,000, or $1 per unit Total fixed cost= 5,000 Price unit is $4,00 2000 units were sold A. Calculate the break even point? B. what would have been the net income if 3000 units h

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  • by Dodgy Dog in a Sable COAT on November 10th, 2009

    Dodgy Dog in a Sable COAT

    Well, I won't solve it for you, but the formula for calculating break-even point is:

    Break-Even Point = FC/(1-VC/S)


    Where: FC = Fixed Costs
    VC = Variable Costs
    S = Sales

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