DeLong Inc

question 47

Multiple Choice

DeLong Inc. has fixed operating costs of $470,000, variable costs of
$2) 80 per unit produced, and its products sell for $4.00 per unit. What is the company's breakeven point, i.e., at what unit sales volume would income equal costs?

• A) 391,667
• B) 411,250
• C) 431,813
• D) 453,403
• E) 476,073

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Definitions:

Market Order

A type of order to buy or sell a security immediately at the best available current price.

Initial Margin

Initial margin refers to the percentage of the purchase price of securities (e.g., stocks or futures) that an investor must pay for with their own funds when using a margin account.

Limit-Buy Order

An order to purchase a security at or below a specified price, ensuring the buyer pays no more than the predetermined price.

Limit-Sell Order

A type of stock market order where a seller sets the minimum price they are willing to accept for a security, and the trade only executes if the market price meets or exceeds that price.