Blane Corporation produces and sells a single product.Data concerning that product appear below: The break-even in monthly unit sales is closest to:

Question

Blane Corporation produces and sells a single product.Data concerning that product appear below:  The break-even in monthly unit sales is closest to:

Quizplus · Accepted Answer

Unit CM = Selling price per unit - Variable expenses per unit
= $230.00 per unit - $73.60 per unit = $156.40 per unit
Unit sales to break even = Fixed expenses ÷ Unit CM
= $542, 708 ÷ $156.40 per unit = 3, 470 units

Blane Corporation Produces and Sells a Single Product