Jaime overhead allocation

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7. Jaime Inc. manufactures 2 products, sweaters and jackets. The company has estimated its overhead in the order-processing department to be $180,000.

8. ABC Bread sells a box of bagels for with a contribution margin of 62.50%. Its fixed costs are $150,000 per year. How much sales dollars does ABC Bread need to break-even per year if bagels are its only product?

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Solution Summary

This solution is comprised of a detailed explanation to answer how much is the order processing overhead to jackets.