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In 2017,Thorpe Company Has Sales of $1 600 000,variable Costs

Question 83

Essay

In 2017,Thorpe Company has sales of $1 600 000,variable costs of $400 000,and fixed costs of $600 000.In 2018,the company expects annual property taxes to decrease by $30 000.
Required:
a.Calculate operating profit and the break-even point for 2017.
b.Calculate the break-even point for 2018.
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Correct Answer:

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a.In 2017,operating profit is $1 600 000...

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