NTQ Corporation Produces and Sells a Single Product with a Price

question 179

Essay

NTQ Corporation produces and sells a single product with a price of $12 per unit and variable costs of $8 per unit. Total fixed costs per month are $8,000.
a)Calculate NTQ's contribution margin per unit.
b)How many units must NTQ sell monthly to break even?
c)If fixed costs increase by $500 per month, how many extra units must NTQ sell each month to continue breaking even?

---

Definitions:

CAPS Model

Stands for Cognitive-Affective Personality System, a psychological model emphasizing the interaction of cognitive and emotional processes in shaping personality.

Nomothetic Goals

Pertains to objectives that seek general laws and principles about behaviors or phenomena, aiming for universal insights.

Idiographic Goals

Goals that are unique to an individual's own interests, values, and aspirations.

Idiographic Goals

Unique, personal goals that are specific to an individual and differ from person to person.