The annual net income break-even level of sales

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Reference no: EM131567497

Doug’s Doughnuts and Gourmet Coffee is considering a new store location. For accounting purposes, fixed annual operating costs for a store are $115,800 a year, and variable costs are 26 percent of sales and taxes are 22% of pretax income. The average sale for each customer is a doughnut and coffee which cost the customer $5.52. The annual net income break-even level of sales (in number of customers) for this store location is _______.

Reference no: EM131567497

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