What volume per month is required in order to break even

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Reference no: EM132226560

A local manufacturer of Barbadian-branded pens has chosen a site for her business which will have fixed costs of $9,200 per month and variable costs of $2 per unit produced. Each item is sold to retailers at a price that averages $2.20.

a. What volume per month is required in order to break even?

b. What profit would be realised on a monthly volume of 87,000 units?

c. What volume is needed to reach a profit target of $16,000 per month?

Reference no: EM132226560

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