Kent Manufacturing Produces a Product That Sells for $50

question 43

Multiple Choice

Kent Manufacturing produces a product that sells for $50.00 and has variable costs of $24.00 per unit. Fixed costs are $260,000. Kent can buy a new production machine that will increase fixed costs by $11,400 per year, but will decrease variable costs by $3.50 per unit.
- Compute the revised break-even point in units if the new machine is purchased.

• A) 8,814 units.
• B) 10,000 units.
• C) 9,200 units.
• D) 9,869 units.
• E) 10,438 units.

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Definitions:

Altered States

Conditions in which the mind's perception of the world is significantly different from normal, such as during meditation, hypnosis, or drug-induced experiences.

Consciousness

The state of being awake and aware of one's surroundings and experiences.

EEG

Electroencephalography, a method to record electrical activity of the brain via electrodes placed on the scalp.

R Sleep

Also known as REM (Rapid Eye Movement) sleep, a phase of sleep characterized by quick, random movements of the eyes, dreaming, and increased brain activity.