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Tucker Inc

Question 93

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Tucker Inc. produces specialty quilts and blankets using a partly manual, partly automated manufacturing process. Total sales for the previous period were $180,000. Wages, materials, and variable manufacturing overhead totaled $30,600. Salaries, depreciation, rent, and other fixed expenses amounted to $44,820. Jaroni charges $500 per customized blanket.
What is Jaroni's break-even point in Sales Dollars?

Correct Answer:

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CM Ratio = Contribution margin / Sales
C...

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