Acme Company Provided the Following Data -Refer to the Figure

question 142

Multiple Choice

Acme Company provided the following data:
$\begin{array}{lr}\text { Selling price per unit } & \$ 80 \\\text { Variable cost per unit } & \$ 60 \\\text { Total fixed costs } & \$ 400,000\end{array}$
-Refer to the Figure.What is the break-even point in units?

• A)6,667
• B)10,000
• C)13,333
• D)20,000

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Definitions:

Probability Mass Function

An operation that calculates the chance that a given discrete random variable precisely equals a certain value.

Probability Density Function

A mathematical function that describes the likelihood of a continuous random variable taking on a specific value.

Normal Distribution

A bell-shaped frequency distribution that is symmetrical about the mean, describing how many data points, given continuous variables, distribute in nature.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how much the values in a data set deviate from the mean.