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2 points Sales (50.000 1.000.000 directmates and direct labor $500,000, other variable costs 550.000, and fixed costs $180,00
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Answer #1
Sales price per unit = 1000000/50000 = $ 20.00
Variable cost per unit = (500000+50000)/50000 = $ 11.00
Contribution margin per unit = 20-11 = $ 9.00
Breakeven point in units = Fixed cost/CM per unit = 180000/9 = 20000 Units
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