The Atlantic Company Sells a Product with a Break-Even Point

question 120

Essay

The Atlantic Company sells a product with a break-even point of 3,000 sales units. The variable cost is $60 per unit, and fixed costs are $270,000. Determine the (a) unit sales price, and (b) break-even points in sales units if the company desires a target profit of $36,000.

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Definitions:

Triple Bottom Line

A sustainability framework that evaluates a company's performance based on social, environmental, and financial criteria.

CSR Activity

Corporate social responsibility activities aimed at enhancing society and the environment beyond the firm's immediate financial interests or legal requirements.

Corporate Performance

A measure of a company's efficiency, productivity, and profitability, typically evaluated through financial metrics and operational indicators.

Agency Problem

A conflict of interest arising between principals (such as shareholders) and agents (such as company executives) due to differing goals.