Omega Incis Expecting a Reduction of $25,000 in Fixed Costs of of $725,000.What

question 118

Multiple Choice

Omega Inc.is expecting a reduction of $25,000 in fixed costs of $725,000.What will be the change in break-even sales (in units) , if selling price per unit is $50 and the unit variable cost is $35?

• A) 48,333 units
• B) 46,667 units
• C) 1,667 units
• D) 2,500 units

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Definitions:

Permutation Test

A nonparametric statistical test method used to determine if two or more samples come from the same distribution.

P-value

A statistical measure indicating the probability of observing test results at least as extreme as those actually observed, assuming that the null hypothesis is true.

Standard Deviation

A measure that indicates the amount of variation or dispersion of a set of values from the mean (average) of that set.

Resamples

The process of taking repeated samples from observed data, often with replacement, to perform statistical inference.