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:

Tab Stop

A feature in word processing software that allows the user to set specific locations on a line of text for aligning text, facilitating organized layouts in documents.

Alignment Indicator

A marker or cue in software that shows the relative positioning or formatting alignment of elements within a document or user interface.

Tab Leader

In document formatting, a visual guide that fills the space in a tabbed indent with dots, dashes, or lines to direct the reader's eye across the space.

Mirror Reflection

A reversed or flipped image of an object, mimicked in a way that it appears as if seen in a mirror.