Phan Company Has Not Reported a Profit in Five Years

question 77

Multiple Choice

Phan Company has not reported a profit in five years.This year the company would like to narrow its loss to $7,500.Assuming its selling price is $36.50 per unit and its variable costs per unit are $24,how many units must be sold to achieve its target given that total fixed costs are $60,000? (Do not round intermediate calculations.)

• A) 2,188
• B) 1,439
• C) 4,200
• D) 1,600

---

Definitions:

Polarity

The property of having distinct and opposite charges or directions.

Molecule

The smallest particle of a chemical substance that retains its chemical properties, consisting of one or more atoms bonded together.

Neutral

A term typically referring to a state of neutrality where there is no net charge, bias, or expressed preference.

Compound

Molecule that has atoms of more than one element.