When Fixed Costs Are $41,500, the Variable Cost Is $12

question 140

Multiple Choice

When fixed costs are $41,500, the variable cost is $12 per unit, and the product sells for $22 per unit, the breakeven point is

• A) 4,150 units.
• B) 8,300 units.
• C) 2,075 units.
• D) 6,225 units.

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Definitions:

Taste Receptor Cells

Specialized cells located on the taste buds of the tongue, responsible for detecting taste stimuli.

Dissolved

The process by which a solid becomes incorporated into a liquid to form a solution.

Hair Follicle

A small tubular cavity containing the root of a hair, from which the hair grows and into which sebaceous (oil) glands open.

Nerve Endings

Specialized structures at the end of nerve fibers that transmit signals to and from different parts of the body to the brain.