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Homework: Chapter 3 4 Score: 0 of 1 pt HW Score: 63%, 5.67 of 9 pts 7 of 9 (9 complete X E3-30 (similar to) Question Help Chloe Rugs is holding a 2 wok carpet sale at Jean's Club, a local warehouse store. Chloe Rugs plans to sell carpets for $800 each. The company will purchase the carpets from a local distributor for $560 each, with the privilege of returning any unsold units for a full refund. Jean's Club has offered Chloe Rugs two payment alternatives for the use of space Click the loon to view the additional information) Read te recurements Requirement 1. Calculate the breakeven point in units for (a) option 1 and (b) option 2 Begin by determining the formula to calculate the breakeven point in units Number of units to breskeven Choose from any drop-down it and then click Check Answer 8 Praning Clear All Check Answer Pearson Copyright 2020 Pearson Education Inc. All rights reserved. Terms of Use Privacy Policy Permissions Contact Us

Answer 1

solutions Leylivement л. a) Option : Break Even points - fixed costs - contribution per unit (in units) . $8,640 $ 240 .: = 36 carpets contribution per unit = sales -Variable costs -$800 - $560 -$240

- b) option ai Break Even point (in units) :: Fixed Gost. Contribution perunit = $ Ó $**120 20 Carpets contribution per unit a sales - Variable commission cost , - $800 - $560-($800 X 15:)) = $800-$560 - $120 = $120 .

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