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What is the company break-even point in units

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Question - Del-Ware Gap Company: Income Statement (for the Year Ended December 31, 2008)

Sales (20,000 units): $500,000

Variable expenses: $300,000

Contribution margin: $200,000

Fixed expenses: $120,000

Net income: $80,000

What is the company's break-even point in units?

How many more units would the company have had to sell to earn net income of $100,000 in 2008?

If the company expects a 25% increase in sales volume in 2009, what would be the expected net income in 2009?

How much sales dollars would the company have to generate in order to earn a target net income of $150,000 in 2009?

Reference no: EM131769884

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