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Madlem, Inc., produces and sells a single product whose selling price is $240.00 per unit and whose variable expense is $86.40 per unit. The company's fixed expense is $720,384 per month.
Required: Determine the monthly break-even in either unit or total dollar sales.
Prepare the journal entry to recognize the income tax benefit of the operating loss. Airparts elects the carryback option.
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