In 2015, X Company had the following selling price and per-unitvariable cost information:
Selling price $174.10 Direct materials 39.20 Direct labor 10.40 Variable overhead 35.40 Variable selling and administrative 13.30
In 2015, fixed overhead costs were $351,000, and fixed selling andadministrative costs were $278,000.
In 2016, there are only two expected changes. Direct material costsare expected to decrease by 10% per unit, and fixed selling andadministrative costs are expected to increase by $10,000. What mustunit sales be in order for X Company to break even in 2016?
In 2015, X Company had the following selling price and per-unitvariable cost information:
| Selling price | $174.10 | ||
| Direct materials | 39.20 | ||
| Direct labor | 10.40 | ||
| Variable overhead | 35.40 | ||
| Variable selling and administrative | 13.30 | ||
In 2015, fixed overhead costs were $351,000, and fixed selling andadministrative costs were $278,000.
In 2016, there are only two expected changes. Direct material costsare expected to decrease by 10% per unit, and fixed selling andadministrative costs are expected to increase by $10,000. What mustunit sales be in order for X Company to break even in 2016?
Related questions
In 2015, X Company had the following selling price and per-unitvariable cost information:
| Selling price | $186.00 | ||
| Direct materials | 43.10 | ||
| Direct labor | 14.30 | ||
| Variable overhead | 24.20 | ||
| Variable selling and administrative | 16.90 | ||
In 2015, fixed overhead costs were $374,000, and fixed selling andadministrative costs were $260,000.
In 2016, there are only two expected changes. Direct material costsare expected to decrease by 20% per unit, and fixed selling andadministrative costs are expected to increase by $20,000. What mustunit sales be in order for X Company to break even in 2016?
In 2015, X Company had the following selling price and per-unitvariable cost information:
| Selling price | $167.80 | ||
| Direct materials | 31.40 | ||
| Direct labor | 28.60 | ||
| Variable overhead | 34.60 | ||
| Variable selling and administrative | 28.80 | ||
In 2015, fixed overhead costs were $359,000, and fixed selling andadministrative costs were $256,000.
In 2016, there are only two expected changes. Direct material costsare expected to increase by 10% per unit, and fixed selling andadministrative costs are expected to increase by $20,000. What mustunit sales be in order for X Company to break even in 2016?
