Figure 8-4 Dirth Company Sells Only One Product at a Regular Price

question 32

Multiple Choice

Figure 8-4
Dirth Company sells only one product at a regular price of £7.50 per unit. Variable expenses are 60 per cent of sales and fixed expenses are £30,000. Management has decided to decrease the selling price to £6.00 in hopes of increasing its volume of sales.
-Refer to Figure 8-4. What is the monetary sales level required to break even at the old price of £7.50?

• A)£75,000
• B)£12,000
• C)£18,000
• D)£50,000

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Definitions:

Back Injury

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Prosecution Attorney

A legal representative responsible for presenting the case against an individual accused of a crime in court.

Closing Statement

A final remark or summary, often used to conclude a speech or written piece, encapsulating the main points or findings.