The Fixed Cost of Widget Corp

question 29

Multiple Choice

The fixed cost of Widget Corp., a keyboard manufacturing company, is $600,000 per year. The cost of equipment and labor to make one keyboard is $10. If the customers would pay $25 to buy one keyboard, Widget Corp. needs to sell _____ keyboards to make profits.

• A) at least 50,000
• B) at least 45,000
• C) more than 40,000
• D) less than 35,000