Cost Structure; Break-Even and Target Profit


Answer each question as if you were a consultant hired by the company and are presenting to the president. For each answer explain the terminology and concepts used. For example, in #1 rather than just give the breakeven for each scenario, explain the change in the volume of sales, explain the calculation – this is a professional report from a consultant to an executive committee. Use outside sources when necessary BUT MAKE SURE YOU CITE THEM!  When giving a recommendation, back it up with numbers. This particular answer should be an executive committee report that is no more than 4 pages in length.

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