MacLean Company Produces a Single Product If the Product Sells for $60, How Many Units Must

question 28

Multiple Choice

MacLean Company produces a single product. Following is cost information: $\begin{array}{lll}&&\text { Variable Cost }\\&\text { Fixed Cost }&\text { Per Unit }\\\text { Manufacturing costs } & \$ 35,000 & \$ 15 \\\text { Non-manufacturing costs } & 60,000 & 10\end{array}$ If the product sells for $60, how many units must be sold to break even?

• A) 1,000
• B) 2,375
• C) 2,714
• D) 3,800

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The process of manufacturing a certain quantity of products in a continuous sequence without interruptions.