Payton Industries Has Fixed Costs of $490,000,the Unit Selling Price

question 55

Multiple Choice

Payton Industries has fixed costs of $490,000,the unit selling price is $35,and the unit variable costs are $20.What is the break-even sales (units) if fixed costs are reduced by $40,000?

• A) 32,667 units
• B) 14,000 units
• C) 30,000 units
• D) 24,500 units

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Definitions:

Open-Door Policy

A management approach where all employees have the freedom to approach or communicate with their superiors without any barriers.

Grievance Process

A mediation process through the human resources department utilized when an employee or employees feel they are treated unjustly.

Agenda

The list of topics discussed or presented at a meeting, in order of presentation.

Mediation

Intervention in a dispute in order to resolve it.