Answer the Following Question(s)using the Information Below

question 71

Multiple Choice

Answer the following question(s) using the information below.Kaiser's Kraft Korner sells a single product.7,000 units were sold resulting in $70,000 of sales revenue, $28,000 of variable costs, and $12,000 of fixed costs.
-Break-even point in units is

• A)2,000 units.
• B)3,000 units.
• C)5,000 units.
• D)7,000 units.
• E)2,797 units.

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Definitions:

Net Margin

A profitability metric calculated as net income divided by revenue, expressed as a percentage, indicating the percentage of revenue that translates into profit.

Full Selling Price

The total cost to the consumer to purchase a product or service, including any taxes, fees, or additional charges.

Return on Investment

A measure of the profitability of an investment, calculated as the net profit of the investment divided by its cost.

Net Profit

Represents the amount of money a company retains after subtracting all its expenses, taxes, and costs from its total revenue.