1. Compute the anticipated break-even sales in units.
units
2. Compute the sales (units) required to realize a target profit of $240,000.
units
3. Construct a cost-volume-profit chart, assuming maximum sales of 20,000 units within the relevant range. From your chart, indicate whether each of the following sales levels would produce a profit, a loss, or break-even.
$1,200,000 Break-even Item 3
$1,000,000 Loss Item 4
$800,000 Loss Item 5
$400,000 Loss Item 6
$200,000 Loss Item 7
4. Determine the probable income (loss) from operations if sales total 16,000 units.
$ Income Item 9