Problem

Lor Company’s single product sells at a price of $108 per unit. Cost data for its single p...

Lor Company’s single product sells at a price of $108 per unit. Cost data for its single product follows. Compute this company’s break-even volume in units.

Direct materials  

$20 per unit

Direct labor  

$28 per unit

Overhead costs

 

Variable overhead  

$ 6 per unit

Fixed overhead per year  

$160,000 per year

Selling and administrative expenses

 

Variable  

$ 18 per unit

Fixed  

$200,000 per year

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Solutions For Problems in Chapter 19