What Is the Base Case Cash Break-Even Point Given the Following

question 234

Multiple Choice

What is the base case cash break-even point given the following information? Total fixed costs = $35,000; variable cost = $10 per unit; price = $25; depreciation = $10,000.

• A) 667
• B) 1,917
• C) 2,237
• D) 2,334
• E) 3,000

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Definitions:

Balance Theory

A theory in social psychology suggesting that people strive for balance in their relationships and beliefs for cognitive consistency.

Pitchman

A person who promotes and sells a product or service, often using persuasive or catchy pitches, traditionally in a live setting but also often through media.

Balance Theory

A psychological theory suggesting that individuals strive for harmony in their relationships and opinions, leading to changes in attitudes when imbalances occur.

Behavioral Intentions

An individual's planned or anticipated actions in a given situation, often studied in psychology and marketing as precursors to actual behavior.