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QuadCity Manufacturing, Inc
QuadCity Manufacturing, Inc. reported the following items: Sales = $6,000,000; Variable Costs of Production = $1,500,000; Variable Selling and Administrative Expenses = $550,000; Fixed Costs = $1,350,000; EBIT = $2,600,000; and the Marginal Tax Rate =35%. QuadCity’s break-even point in sales dollars is:
a. $2,050,633
b. $2,438,750
c. $2,785,000
d. $2,197,500
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