A Proposed Project Has Fixed Costs of $159,800,depreciation Expense of $47,920,and

question 69

Multiple Choice

A proposed project has fixed costs of $159,800,depreciation expense of $47,920,and a sales quantity of 6,750 units.Ignore taxes.What is the contribution margin if the projected level of sales is the accounting breakeven point?

• A)$33.29
• B)$30.77
• C)$27.18
• D)$34.36
• E)$32.00

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Definitions:

Sum Of Values

The total obtained by adding together a sequence of numbers, quantities, or items.

Mode

The value that occurs most frequently in a data set.

Average

The most representative score in a set of scores.

Common Average

The arithmetic mean or simple average of a set of values, calculated by summing them up and dividing by the number of values.