Tech Engineering in TN is making a product for the overseas market. The following cost data for the product has been compiled. Selling price: $167 Material and purchased parts: $25/unit Direct labor: 2 hrs at $20 per hour Fixed cost: $1,400,000 If the overhead expenses are charged at 80% of labor cost, determine the breakeven volume for this product. 8,383 14,433 20,000 26,666

Tech Engineering in TN is making a product for the overseas market. The following cost data for the product has been compiled. Selling price: $167 Material and purchased parts: $25/unit Direct labor: 2 hrs at $20 per hour Fixed cost: $1,400,000 If the overhead expenses are charged at 80% of labor cost, determine the breakeven volume for this product. 8,383 14,433 20,000 26,666

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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