Total Variable Fixed 120,000 45,000 75,000 $1,740,000 $900,000 $840,000 Manageme
ID: 2433377 • Letter: T
Question
Total
Variable
Fixed
120,000
45,000
75,000
$1,740,000
$900,000
$840,000
Management is considering the following independent alternativesfor 2009.
Compute the break-even point in dollars for 2008. (Round answers to 0 decimal places, e.g. 125.For computational of unit costs and contribution margin ratios,round to 4 decimal places, e.g. 10.2520. Round all othercomputations to 0 decimal places, e.g.125.)
$
Which alternative is the recommended course of action?
231
Total
Variable
Fixed
Cost of goods sold $1,200,000 $780,000 $420,000 Selling expenses 420,000 75,000 345,000 Administrative expenses120,000
45,000
75,000
$1,740,000
$900,000
$840,000
Explanation / Answer
x.