The following data for 2021 are available for Canlubang Automotive Company which manufactures and sells a single automotive product line. Unit selling price = 40 Unit variable cost = 20 Total fixed cost = 200,000 a.) What is the break-even point in units for the current year? b.) Prepare a break-even chart for the operation in 2021 intervals of 5,000 units from 5,000 to 30,000 units (show complete solution)

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter2: Building Blocks Of Managerial Accounting
Section: Chapter Questions
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The following data for 2021 are available for Canlubang Automotive
Company which manufactures and sells a single automotive product line.
Unit selling price = 40
Unit variable cost = 20
Total fixed cost = 200,000
a.) What is the break-even point in units for the current year?
b.) Prepare a break-even chart for the operation in 2021 intervals of 5,000 units from 5,000
to 30,000 units (show complete solution)

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