The breakeven sales volume of the Patin Co. is $800,000. If the variable cost per unit increases next year, then the new breakeven point will be:

Question

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If the variable cost per unit increases, it will require more units to be sold to cover the fixed costs that remain constant. This means that the breakeven point will increase and be higher than the previous year's breakeven point.

The Breakeven Sales Volume of the Patin Co