Break-even Assignment 1. Start by completing the above table under th Break-even Assignment 1. Start by completing the a

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Break-even Assignment 1. Start by completing the above table under the assumption that the
product will be sold for
$30. (It will be easiest to use Excel to complete the table.) How many units need to be
sold to break-even at a product price of $30?
2. Now recalculate the table under the assumption that the product will be sold for $15.
How many units need to be sold to break-even at a product price of $15?
3. What do you think you would set first: the sales target or the price? Why? No. of Allocated
Units Fixed Costs Variable
Cost/Unit 500 $10,000 $10 1,000 $10,000 $10 1,500 $10,000 $10 2,000 $10,000 $10 2,500
$10,000 $10 Total
Production
Cost Average
Unit Cost Unit Total Sales
Price Revenue Gross
Profit