Determine the amount of sales (units) that would be necessary underBreak-Even Sales Under Present and Proposed ConditionsDarby Company, operating at full capacity, sold 121,500 units at a price of $93 per unit during the current year. Its income statement for the current year is as follows:Sales $11,299,500Cost of goods sold 5,580,000Gross profit $5,719,500Expenses: Selling expenses $2,790,000 Administrative expenses $2,790,000 Total expenses 5,580,000Income from operations $139,500The division of costs between fixed and variable is as follows: Variable FixedCost of goods sold 70% 30%Selling expenses 75% 25%Administrative expenses 50% 50%Management is considering a plant expansion program that will permit an increase of $930,000 in yearly sales. The expansion will increase fixed costs by $93,000, but will not affect the relationship between sales andvariable costs.Determine the maximum income from operations possible with the expanded plant
RECOMMENDED!!BUS 0003 47023-Determine the amount of sales (units) that would be necessary under
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