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LPV company, a small busines venture is preparing for a tender to supply computers to the local municipality. The company has done its cost and pricing. The tender details are as follows.
Fixed costs R50 000
Price per computer R3000
Variable cost R500
i) Calculate the break even point in units for LPV in this tender
ii) Assume LPV company changes in the price to R2500 per computer set. What is the impact on the break even point

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