Dirth Company Sells Only One Product at a Regular Price

question 51

Multiple Choice

Dirth Company sells only one product at a regular price of $7.50 per unit.Variable expenses are 60 percent of sales and fixed expenses are $30,000.Management has decided to decrease the selling price to $6.00 in hopes of increasing its volume of sales
- What is the sales dollars level required to break even at the old price of $7.50?

• A) $75,000
• B) $12,000
• C) $18,000
• D) $50,000

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Definitions:

Social Influence

Social influence encompasses the ways in which individuals change their behavior to meet the demands of a social environment. It covers conformity, compliance, and obedience within groups.

Twelve Angry Men

A landmark film and play that explores the dynamics of a jury deliberation, where one dissenting juror challenges the consensus, highlighting themes of justice, social perception, and group decision-making.

Juries

Groups of citizens selected to decide on the evidence presented to them in a court of law and determine the guilt or innocence of the defendant.

Conform

The act of aligning one's attitudes, beliefs, or behaviors to match those of a group or society's norms and expectations.