Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below:
Selling Price.......................................................
|
$30 per unit
|
Variable expenses.............................................
|
$20 per unit
|
Fixed expenses..................................................
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$7,500 per month
|
Unit Sales...........................................................
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1,000 units per month
|
1. What is the break-even point in units?
2. What is the company's income if it sells 1000 units?