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Business, 19.03.2021 05:10 nev322

A product line offered by Global Company sells for an average of $20 per unit with a weighted average variable cost per unit of $8.00. Fixed costs assigned to this product line are $4,800,000. Possible changes in government policies related to trade and tariffs may result in a 20% tariff being imposed on each unit sold. To determine the impact of a possible tariff on their break-even point, Global wants to calculate the number of additional units they will need to sell to break-even if a tariff is imposed. If Global must pay a tariff equal to 20% of the average revenue per unit, how many additional units will Global need to sell to achieve break-even

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