If Fixed Costs Are $400,000 and the Unit Contribution Margin

question 155

Multiple Choice

If fixed costs are $400,000 and the unit contribution margin is $20, what amount of units must be sold in order to have a zero profit?

• A) 25,000 units
• B) 10,000 units
• C) 400,000 units
• D) 20,000 units

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Definitions:

Stimulus Discrimination

The ability of individuals to differentiate between similar stimuli and respond accordingly in decision-making processes.

Selective Comprehension

The process by which individuals interpret messages in a way that is consistent with their pre-existing attitudes and beliefs, often leading to skewed understanding of the message.

Perceptual Learning

The process of learning improved skills of perception, often through repeated exposure to certain stimuli.

Behavioral Learning

A psychological approach that emphasizes the importance of observable behaviors and the ways in which they're learned through interactions with the environment.