A Company's Contribution Margin Is $9 Per Unit

question 35

Multiple Choice

A company's contribution margin is $9 per unit. Fixed costs are $14,850 per month. How many units must be sold to break even?

• A) 1,700
• B) 1,425
• C) 850
• D) 1,650

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Definitions:

Compliant Personality

A personality trait characterized by a predisposition to agree with others and yield to social pressure or expectations.

Neurotic Trend

Patterns of thinking, feeling, and behaving that are maladaptive and stem from unresolved psychological conflicts.

Horney

Karen Horney, a German psychoanalyst who postulated theories on neurosis, personal growth, and self-realization, emphasizing cultural and social factors.

Self-Image

An individual's conception and expression of their own identity, including perceptions of abilities, appearance, and personality.