In planning its operations for 2011 on the basis of a sales forecast of 6,000,000 ASF Inc. prepared the following estimated data Costs and Expenses
Variable Fixed
Direct Material 1,600,000
Labor 1,400,000
Factory overhead 600,000 900,000
Selling expenses 240,000 360,000
Administrative expenses 60,000 140,000
Required:
a. What would be the amount of sales at the breakeven point?
• 2,250,000
• 4,000,000
• 3,500,000
• 5,300,000