T-Shirts Unlimited Is Conducting a Breakeven Analysis on Unbleached Cotton

question 19

Multiple Choice

T-shirts Unlimited is conducting a breakeven analysis on unbleached cotton tops. Fixed costs are $100,000 and the per-unit contribution to fixed costs is $20. To break even, the company must sell ______ units.

• A) 20,000
• B) 5,000
• C) 500
• D) 200

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Definitions:

Strategic Sourcing

The systematic and fact-based approach for optimizing an organization's supply base and improving the overall value proposition.

Procurement

The process of finding, acquiring, and buying goods, services, or works from an external source.

E-procurement

The electronic procurement of goods and services using the internet and other information technologies to streamline the purchase-to-pay process.

Secure Information

Information that is protected against unauthorized access, alteration, and disclosure, often through encryption and other security measures.