The Following Data Have Been Provided by a Retailer That

question 90

Multiple Choice

The following data have been provided by a retailer that sells a single product:
$\begin{array}{|l|r|r|}\hline & \text { This Year } & \text { Last Year } \\\hline \text { Units Sold } & 200,000 & 150,000 \\\hline \text { Sales Revenue } & \$ 1,000,000 & \$ 1750,000 \\\hline \text { Less: Cost of Goods Sold } & \underline{700,000} & \underline{\mathbf{5 2 5 , 0 0 0}} \\\hline \text { Gross Margin } & 300,000 & 225,000 \\\hline \text { Less: Operating Expenses } & \underline{222,000} & \underline{\mathbf{2 1 0 , 0 0 0}} \\\hline \text { Operating Income } & \underline{\$ 78,000} & \underline{\$ 15,000} \\\hline\end{array}$


-What is the best estimate of the company's variable operating expenses per unit?

• A) $0.24 per unit.
• B) $0.71 per unit.
• C) $0.90 per unit.
• D) $4.17 per unit.

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Definitions:

Violent Crimes

Acts of violence or aggression that are punishable by law, including murder, rape, assault, and robbery.

FBI

The Federal Bureau of Investigation, a domestic intelligence and security service of the United States and its principal federal law enforcement agency.

Forcible Rape

A criminal act involving the use of force or threat of force to perform sexual intercourse against somebody's will.

Aggression

Behavior intended to harm or intimidate others, which can be physical, verbal, or non-verbal.