If Heartlake Enterprises can reduce fixed expenses by $15,400, how will breakeven sales in units be affected?
| Selling price per Unit | $28 |
| Less:Variable Expenses per unit | $18 |
| Contribution per unit | $10 |
| Current Break Even units = Fixed cost/Contribution per unit = $546,000/$10 = 54,600 units |
| New Break even units= Fixed cost/Contribution per unit = $546,000-$14,000/$10 = $532,000/$10 = 53,200 units |
| Breakeven sales unit will decrease by 1,400 units(54,600 units-53,200units) |
You might also like to view...
Aligning the firm's philosophy with that of a potential channel partner would be identified in the channel strategy of ________.
A. coverage B. cost C. control D. continuity E. character
Manuel, in conducting an audit, must rely most heavily on rules found in generally accepted accounting principles (GAAP)
Indicate whether the statement is true or false
Millennials are used to typing on a computer, texting with a friend or friends, watching television, and listening to music all at the same time. ________ refers to this reduced attentive state.
A. Multitasking presence B. Alternative presence C. Task presence D. Selective presence E. Absence presence
A(n) ______________________________ is a business document used by the payer to notify the payee of the items being paid.
Fill in the blank(s) with the appropriate word(s).