Use the Information Below to Answer the Following Questions

question 49

Multiple Choice

Use the information below to answer the following questions.
Sales Extraordinaire sells one particular photo frame. It estimates that it can sell as many frames as it produces. Sales price per unit $5.00
Variable cost per unit $2.00
Fixed costs per annum $9,000
-Refer to the table above. The break-even point in units is:

• A) 3,000
• B) 1,800
• C) 5,500
• D) 1,285

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Definitions:

Positive Linear Relationship

A direct correlation between two variables where an increase in one variable results in an increase in the other.

Population Coefficient

A parameter that represents a characteristic or measure of an entire population.

Significance Level

A statistical term that measures the probability of rejecting the null hypothesis when it is actually true, often denoted by alpha (α).

Higher Sales

An increase in the quantity of goods or services sold, often regarded as a key indicator of business performance and growth.