If Fixed Costs Are $500,000, the Unit Selling Price Is

question 54

Multiple Choice

If fixed costs are $500,000, the unit selling price is $55, and the unit variable costs are $30, what is the break-even sales (units) if fixed costs are increased by $80,000?

• A) 10,545 units
• B) 19,333 units
• C) 23,200 units
• D) 25,000 units

---

Definitions:

Charles Handy

A respected British management thinker known for his theories on organizational culture and motivation.

Common Purpose

A shared vision or goal that unites members of a group, team, or community, driving collaborative efforts towards achieving that goal.

Organization

A systematic arrangement of people and resources working together to achieve specific goals.

Collection of People

An assembly or group of individuals brought together for a common purpose or function.