Biscuit Company Sells Its Product for $50

question 84

Multiple Choice

Biscuit Company sells its product for $50. In addition, it has a variable cost ratio of 45 percent and total fixed costs of $6,875. What is the break-even point in units for Biscuit Company?

• A)250 units
• B)3,600 units
• C)375 units
• D)2,400 units

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Definitions:

Type A

Describes a personality type characterized by a high level of competitiveness, self-urgency, impatience, and aggression, often linked to stress and heart disease.

Impatient

A feeling of restlessness or desire for immediate action or results, often leading to frustration when delays occur.

Ambitious

Having a strong desire and determination to achieve success or accomplish a specific goal.

Hardy

Showing resilience and ability to cope well with life's challenges.