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Level of production and sales per period

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Reference no: EM131081681

A manufacturer's product is sold to customers at $5.40 each. Manufacturing costs are as follows:

Fixed costs per period $270,000

Variable costs per unit of product $2.90

Calculate:

(a) the break-even point in units per period

(b) the total costs per period at this output

(c) the profit or loss at a level of production and sales per period of:

(i) 100,000 units

(ii) 120,000 units

(d) the output for a profit of $150,000 in a period.

Reference no: EM131081681

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