Megan,IncHas Fixed Costs of $400,000,sales Price of $40,and Variable Cost

question 4

Multiple Choice

Megan,Inc.has fixed costs of $400,000,sales price of $40,and variable cost of $30 per unit.How many units must be sold to earn profit of $80,000?

• A)2,000
• B)10,000
• C)40,000
• D)48,000