Variable Cost for Light

question 3

Multiple Choice

Variable cost for Light.com's fluorescent tubes is $12.50, the tubes are sold over the internet to businesses and organizations for $20.00 each. Fixed costs are $7,500,000. $500,000 in depreciation expense is included in fixed costs. What is the cash break-even quantity for the fluorescent tubes?

• A) 933,333
• B) 1,000,000
• C) 375,000
• D) 1,066,667

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Definitions:

Parietal Peritoneum

The outer layer of the peritoneum that lines the abdominal wall.

Parietal Pericardium

The outer fibrous layer of the pericardium, which surrounds the heart and roots of its major blood vessels.

Lobes

Divisions or sections of an organ separated by fissures or grooves, commonly referred to in the brain, lungs, and liver.

Internal Nares

Openings inside the nose that connect the nasal cavity to the back of the throat.