Use the Following Information for Questions
MacCloud Industries Has

question 36

Multiple Choice

Use the following information for questions
MacCloud Industries has two divisions-Standard and Premium. Each division has hundreds of different types of tennis racquets and tennis products. The following information is available: $\begin{array}{lll}&\text { Standard Division }&\text { Premium Division } & \text { Total }\\\hline\text { Sales } & \$ 400,000 & \$ 600,000&\$1,000,000 \\\text { Variable costs } & 280,000 & 360,000 \\\text { Contribution margin } & \$ 120,000 & \$ 240,000\\\text { Total fixed costs }&&&\$300,000\end{array}$
-What is the break-even point in dollars?

• A) $108,000
• B) $833,333
• C) $857,143
• D) $882,353

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Definitions:

Macroenconomy

The branch of economics that studies the behavior and performance of an economy as a whole, focusing on national income, unemployment, and inflation.

Donald Boudreaux

An American economist known for his work in free market economics and public choice theory, and for being a prolific writer on these subjects.

Private Property

Assets or possessions owned by individuals or corporations and protected by law from unauthorized use or trespass by others.

Alternative Uses

The different purposes or applications a resource can be used for, highlighting economic choices and trade-offs.