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

Grasp the legal mechanisms of property transfer, including deeds and their different types.

Comprehend the principles of adverse possession and the conditions under which it applies.

Examine the legal concepts of easements, fixtures, and warranties in the context of real property.

Understand the concept of DNA content changes throughout the cell cycle and predict DNA content at various stages.

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Definitions:

Depreciation Tax Shield

A reduction in taxable income for a business, resulting from the depreciation expense claimed on tangible assets.

Tax Rate

The percentage of income or value that is collected by the government as tax.

MACRS Depreciation

A method of depreciation in the U.S. that allows for a faster write-off of assets under the tax code.

Incremental Annual Cash Flow

The additional cash flow generated by a company from taking on a new project, calculated as the difference between the project's cash inflows and outflows.