What is the annual breakeven point in units sold and revenue


Problem

I. What is the annual breakeven point in (i) units sold and (ii) revenues?

II. If 37,000 units are sold, what will be the store's operating income (loss)?

III. If sales commissions are discontinued and fixed salaries are raised by a total of 89,000€, what would be the annual breakeven point in (i) units sold and (ii) revenues?

IV. [Refer to the original data] If, in addition to his fixed salary, the store manager is paid a commission of 0.25€ per unit sold, what would be the annual breakeven point in (i) units sold and (ii) revenues?

V. [Refer to the original data] If, in addition to his fixed salary, the store manager is paid a commission of 0.25€ per unit in excess of the breakeven point, what would be the store's operating income, if 50,000 units were sold?

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