If the Selling Price Per Unit Is $10

question 162

Multiple Choice

If the selling price per unit is $10.00, the variable expense per unit is $5.75, and the break-even sales in dollars is $465,200, what are total fixed expenses?

• A) $343,843
• B) $10,946
• C) $197,710
• D) $46,520

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Definitions:

Unadjusted Trial Balance

A list of all accounts and their balances in a company's ledger before any adjusting entries are made.

Ledger

A book or other collection of financial accounts of a particular type, where transactions are recorded.

Account Balances

The total amount of money in a financial account, determined by adding all credits and subtracting all debits.

Accrued Expenses

Expenses that have been incurred but not yet paid for, resulting in a liability recorded on the balance sheet.