The following data relate to a year's budgeted activity for Jorgensen Corporation, a single product company: Total fixed costs remain unchanged within the relevant range in which the company is currently operating.
a.What is the projected annual break-even sales in units?
b.What dollar amount of sales would Jorgenson need to achieve operating income of $30,000?
c.If fixed costs increased $7,500, how many more units must be sold to break even?

Question

The following data relate to a year's budgeted activity for Jorgensen Corporation, a single product company:  Total fixed costs remain unchanged within the relevant range in which the company is currently operating. 
a.What is the projected annual break-even sales in units?
b.What dollar amount of sales would Jorgenson need to achieve operating income of $30,000?
c.If fixed costs increased $7,500, how many more units must be sold to break even?

Quizplus · Accepted Answer

The Answer of The following data relate to a year's budgeted activity for Jorgensen Corporation, a single product company:  Total fixed costs remain unchanged within the relevant range in which the company is currently operating. 
a.What is the projected annual break-even sales in units?
b.What dollar amount of sales would Jorgenson need to achieve operating income of $30,000?
c.If fixed costs increased $7,500, how many more units must be sold to break even?

The Following Data Relate to a Year's Budgeted Activity for Jorgensen