If a Product Has a Contribution Margin of 40% and Has

question 93

Multiple Choice

If a product has a contribution margin of 40% and has a price of $5.00 per unit, how many units must be sold to breakeven assuming a fixed cost of $800,000.00?

• A)1.6 million
• B)0.4 million
• C)0.6 million
• D)0.9 million

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Definitions:

Sample Mean

The average of all the observations in a sample.

Magazines

Magazines are periodical publications containing a variety of content such as articles, stories, and advertisements, aimed at a specific readership or general audience.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how much the values in a data set differ from the mean of the data set.

Expected Value

The average value over many repetitions of an experiment, commonly utilized in the fields of probability and statistics.