In 2016, Carow Sold 3,000 Units at $500 Each

question 30

Multiple Choice

In 2016, Carow sold 3,000 units at $500 each.Variable expenses were $250 per unit, and fixed expenses were $500,000.The same selling price is expected for 2017.Carow is tentatively planning to invest in equipment that would increase fixed costs by 20%, while decreasing variable costs per unit by 20%.What is Carow's break-even point in units for 2017?

• A)2,000
• B)2,400
• C)2,500
• D)3,000

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Definitions:

Interpersonal Relations

The interactions and behaviors between two or more people within a social or work setting.

Cohesiveness

The measure of how well members of a group or team work together to achieve common goals.

Attractiveness

In the context of business, it often relates to the appeal or magnetic quality that a product, service, or company has, making it desirable to customers, investors, or employees.

Orientation

The introduction and alignment of new employees to the company's environment, culture, and expectations to facilitate their adaptation and productivity.