The Fixed Costs for the Manufacture of Hand-Made Ceramic Planters

question 27

Multiple Choice

The fixed costs for the manufacture of hand-made ceramic planters are $21,000. The variable costs to manufacture 10 planters are $800. If the potter has to sell 700 units to break even, what is the selling price of the planters?

• A) 21
• B) 30
• C) 80
• D) 110