New variable costs=$50*50%=$25
New fixed costs=(545,000+35,000)=$580,000
Contribution margin=Sales-Variable costs
=(50-25)=$25 per unit
Hence new breakeven point=Fixed cost/Contribution margin
=(580,000/25)
=23200 units.
Multiple Choice Question 114 Marigold Corps radios for $50 per unit. The fixed costs are $545000 and the variable c...
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