The Following Data Are Available for the South Division of Redride

question 34

Multiple Choice

The following data are available for the South Division of Redride Products,Inc.and the single product it makes: $\begin{array}{lr}\text { Unit Selling Price } & \$ 20 \\\text { Variable Cost per Unit } & \$ 12 \\\text { Annual Fixed Costs } & \$ 280,000 \\\text { Average Operating Assets } & \$ 1.500,000\end{array}$
How many units must South sell each year to have an ROI of 16%?

• A) 52,000 units.
• B) 65,000 units.
• C) 240,000 units.
• D) 1,300,000 units.

---

Definitions:

Coin

A piece of metal, usually flat and circular, authorized by a government for use as money.

Parabola

A U-shaped curve, represented mathematically as the graph of a quadratic function.

Vertex

In the context of geometry and graph theory, a vertex is a point where two or more curves, edges, or lines meet. In the context of quadratic functions, it is the highest or lowest point of the parabola.

Intercepts

Points where a graph crosses the axes of a coordinate system, typically identified as x-intercepts (where the graph crosses the x-axis) and y-intercepts (where it crosses the y-axis).