A Company Has Total Fixed Cost of $400,000

question 137

Multiple Choice

A company has total fixed cost of $400,000. Its fixed- cost contribution per unit is $10.00, and its price per unit is $5.00. What is the break-even point in sales dollars?

• A) $200,000.
• B) $2,000,000.
• C) $4,000,000.
• D) $800,000.
• E) Cannot be determined from the information provided.

---

Definitions:

Enterprise Social Networks

Online platforms that enable employees within an organization to collaborate, share information, and strengthen professional relationships.

Collaboration

The action of working with someone to produce or create something.

Semantic Confusion

Misunderstandings or misinterpretations that occur due to the ambiguous meanings of words or phrases in communication.

Being Judgmental

The tendency to make quick opinions or evaluations about people or situations, often without full understanding or empathy.