If the Fixed Costs Are $15,000 and the Variable Cost/unit

question 7

Multiple Choice

If the fixed costs are $15,000 and the variable cost/unit is $35 and the selling price is $375 units, what is the break-even?

• A)$38.18
• B)$40.22
• C)$42.16
• D)$44.12

---

Definitions:

Audit

An examination of the financial records of an organization to determine whether those records are a fair representation of the actual financial health of the institution.

Financial Records

Documents that outline an entity's transactions, financial history, and condition, such as balance sheets and income statements.

Fair Representation

The principle that every member of a group has the right to equal and impartial representation, often applied in legal contexts and union operations.

Near-Privity Rule

A legal doctrine allowing a non-contractual party who is closely related to a contractual agreement to assert rights or claims under that contract.