If the Product Price Is $100, Average Variable Cost $40

question 71

Multiple Choice

If the product price is $100, average variable cost $40 per unit, and the total fixed costs are $120,000, what is the breakeven point?

• A) 500 units
• B) 2,000 units
• C) 1,200 units
• D) 300 units
• E) 3,000 units

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Definitions:

Thomas Szasz

A Hungarian-American psychiatrist known for his criticisms of psychiatry and the moral and scientific foundations of the concept of mental illness.

Moral Judgement

The process of determining the rightness or wrongness of actions based on ethical principles or social norms.

Abnormal Behaviour

Actions, thoughts, or emotions that deviate significantly from cultural or societal norms and may impair an individual’s functioning.

Medical Model

A framework for understanding diseases and disorders by focusing on biological factors and excluding psychological or social factors.