Business
02.10.2020 09:26
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What is the breakeven point, in dollars, for Zippy Dippy Swimwear, maker of bathing

What is the breakeven point, in dollars, for Zippy Dippy Swimwear, maker of bathing suits and accessories. They have the following costs: raw materials: $15 per pair
labor costs: $8 per pair
commissions: $2 per pair
utilities: $50,000
rent: $96,000
taxes: $30,000
salaries: $150,000
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lychee1406
lychee1406
4,8(10 marks)

the selling is missing, so I looked for similar questions and found that the selling price per swimsuit and its accessory is $85.

total variable costs:

raw materials $15labor costs $8commissions $2total $25

total fixed costs:

utilities $50,000rent $96,000salaries $150,000taxes $30,000total $326,000

contribution margin per swimsuit and accessory =$85 - $25 = $60

break even point in units = $326,000 / $60 = 5,433.33 ≈ 5,434 units

break even point in $ = 5,434 x $85 = $461,890

noathequeen
noathequeen
5,0(23 marks)

this is just for asking questions

Explanation:

u shouldnt be using this platform for these things

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