At a Break-Even Point of 600 Units Sold, the Variable

question 36

Multiple Choice

At a break-even point of 600 units sold, the variable costs were $600 and the fixed costs were $300. What will the sale of each additional unit contribute to profit before income taxes?

• A) $0
• B) $0.50
• C) $1.00
• D) $1.50

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Definitions:

Ethane

A hydrocarbon with the formula C2H6, consisting of two carbon atoms single-bonded together, with three hydrogen atoms bonded to each carbon.

Chain Termination

A process in polymerization or DNA synthesis where growth of the polymer chain is stopped by a terminating molecule.

Ethane

A simple aliphatic hydrocarbon with the formula C2H6, consisting of two carbon atoms single-bonded together and six hydrogen atoms.

UV Light

Ultraviolet light, a type of electromagnetic radiation with a wavelength shorter than visible light but longer than X-rays.