Answer the Following Questions Using the Information Below:
Warne's Flipper

question 164

Multiple Choice

Answer the following questions using the information below:
Warne's Flipper Company sells several products.Information of average revenue and costs is as follows:
$\begin{array}{lr}\text { Selling price per unit } & \$ 25.00 \\\text { Variable costs per unit: } & \\\text { Direct material } & \$ 5.00 \\\text { Direct manufacturing labour } & \$ 1.80 \\\text { Manufacturing overhead } & \$ 0.80 \\\text { Selling costs } & \$ 2.00 \\\text { Annual fixed costs } & \$ 96000\end{array}$
-The number of units that Warne's Flipper must sell each year to break even is:

• A)6234 units.
• B)12 896 units.
• C)16 358 units.
• D)indeterminable.

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Definitions:

Lacuna

A small cavity or space within tissue, especially in bone or cartilage, where cells reside.

Circumferential

Pertaining to or measuring the perimeter of a circle or other rounded object.

Concentric

Defined by objects sharing a common center, often used in physics and geometry.

Interstitial

Space within tissue. Interstitial growth is growth from within.