Use the Figure for the Question(s) Below

question 76

Multiple Choice

Use the figure for the question(s) below.
-A maker of computer games expects to sell 475,000 games at a price of $48 per game. These units cost $10 to produce. Selling, general, and administrative expenses are $1.0 million and depreciation is $280,000. What is the EBIT break-even point for the number of games sold in this case?

• A) $26,667
• B) $26,316
• C) $100,000
• D) $33,684

---

Definitions:

Relative Importance

The level of significance or priority of one item, idea, or action in comparison to others within the same context.

Company Employees

Individuals who are legally hired to perform tasks and services for a company in exchange for compensation.

SME

An acronym for Subject Matter Expert, referring to an individual with deep knowledge and expertise in a specific field or subject area.

Time Limit

A fixed period or duration in which something is to be started or completed.