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Break-Even Sales and Sales to Realize Operating Income For the current year ending December 31,...

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Accounting

Break-Even Sales and Sales to Realize Operating Income

For the current year ending December 31, McAdams Industries expects Costs that tend to remain the same in amount, regardless of variations in the level of activity.fixed costs of $551,600, a unit Costs that vary in total dollar amount as the level of activity changes.variable cost of $56, and a unit selling price of $84.

a. Compute the anticipated break-even sales (units). units

b. Compute the sales (units) required to realize operating income of $126,000. units

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