A Firm Has Operating Profit of $15,000 on Unit Sales

question 13

Multiple Choice

A firm has operating profit of $15,000 on unit sales of 10,000 units. Fixed costs are $30,000. What is the firm's break-even in units?

• A) Less than 6,000 units.
• B) 6,000 units.
• C) More than 6,000 units
• D) There is not enough information to determine the unit break-even point.

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Definitions:

Standardized Test

A standardized test is a form of assessment that is administered and scored in a consistent, or "standard", manner across all test takers to measure their abilities or knowledge in a specific area.

WAIS

The Wechsler Adult Intelligence Scale, a widely used test designed to measure a person's cognitive ability or intelligence.

SAT Reasoning Test

A standardized test widely used for college admissions in the United States, assessing reading, writing, and math skills.

Stanford-Binet

The widely used American revision (by Terman at Stanford University) of Binet’s original intelligence test.