Find the break-even quantity and break-even revenue for the firm in Exercise 4 if management has set up $55,000 as a target profit that must be obtained.
Exercise 4
Suppose that the firm in Exercise 3 has depreciation changes totaling 15% of its fixed cost. What would be the cash break-even quantity (CBEQ)?
Exercise 3
Find both the break-even quantity and the break-even revenue for a small business if its unit product is sold for $29 in the market.