A Company Faces Fixed Costs of $100 000 and Variable Costs

question 66

Multiple Choice

A company faces fixed costs of $100 000 and variable costs of $8.00 / unit.They plan to directly sell their product to the market for $12.00.How many units must they produce and sell to break even?

• A)20 000
• B)25 000
• C)40 000
• D)50 000
• E)not enough information to calculate

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Definitions:

Human Resources

The department within an organization that deals with recruitment, management, and direction of people.

Competency-Based

This approach focuses on identifying and developing specific skills and competencies within an organization to optimize performance and productivity.

Job Analyses

The systematic process of collecting and analyzing information about the duties, responsibilities, and the context of a job, to identify required skills and qualifications.

Organizational Success

The achievement of the goals and objectives set by an organization, often measured by metrics such as profitability, market share, or stakeholder satisfaction.