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If fixed costs are $750,000 and variable costs are 80% of sales, what is the break-even point in sales dollars?
a. $937,500
b. $600,000
c. $3,750,000
d. $1,275,000
2. If fixed costs are $700,000 and the unit contribution margin is $14, what amount of units must be sold in order to realize an operating income of $100,000?
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