Super Sales Company Is The Exclusive Distributor For A High Quality Small Coffee Making Machine For Hotel Rooms The Pro 1 (25.56 KiB) Viewed 8 times
Super Sales Company Is The Exclusive Distributor For A High Quality Small Coffee Making Machine For Hotel Rooms The Pro 2 (23.8 KiB) Viewed 8 times
Super Sales Company is the exclusive distributor for a high-quality small coffee making machine for hotel rooms. The product sells for $80 per unit and has a CM ratio of 25%. The company's fixed expenses are $560,000 per year. The company plans to sell 30,000 coffee machine this year. Required: 1. What are the variable expenses per unit? Variable expenses per unit 2. Use BEP formulas, reply the following: a. What is the break-even point in units and in sales dollars? Break-even point in units Break-even point in sales dollars nealor dollars is required to earn.ap.opqual profit of $104.0002
b. What sales level in units and in sales dollars is required to earn an annual profit of $104,000? Sales in units Sales in dollars c. Assume that through negotiation with the manufacturer, Super Sales Company is able to reduce its variable expenses by $8 per unit. What is the company's new break-even point in units and in sales dollars? (Do not round intermediate calculations. Round your final answers to the nearest whole number.) New break-even point in units New break-even point in sales dollars
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