Arthur crafts miniature chocolate dollhouses which he sells for $28 each. Arthur has calculated the breakeven level of revenues for his business at $998 of sales. The dollhouses have a variable cost of $12 to produce per unit. If his fixed costs double, what is the new breakeven point in units?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 6EA: Reubens Deli currently makes rolls for deli sandwiches it produces. It uses 30,000 rolls annually in...
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Arthur crafts miniature chocolate dollhouses which he sells for $28 each. Arthur has calculated the breakeven level of revenues for his business at $998 of sales. The dollhouses have a variable cost of $12 to produce per unit.

If his fixed costs double, what is the new breakeven point in units?

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