Answer:
Break-even point in units= 346,087
Explanation:
<u>First, we need to calculate the unitary selling price and unitary variable cost:</u>
<u />
Selling price= 2,412,000 / 360,000= $6.7
Unitary variable cost= (1,170,000 + 414,000) / 360,000= $4.4
<u>To calculate the break-even point in units, we need to use the following formula:</u>
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= (714,000 + 82,000) / (6.7 - 4.4)
Break-even point in units= 346,087
