If Fixed Costs Are $1,500,000, the Unit Selling Price Is

question 124

Multiple Choice

If fixed costs are $1,500,000, the unit selling price is $250, and the unit variable costs are $130, what is the amount of sales required to realize an operating income of $200,000?

• A) 14,166 units
• B) 12,500 units
• C) 16,000 units
• D) 11,538 units

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Definitions:

Greenhouse Effect

A natural process where certain gases in Earth's atmosphere trap heat, keeping the planet warm enough to support life.

UV Radiation

Ultraviolet radiation, a type of energy emitted by the sun that can cause skin damage, including sunburn and skin cancer.

Troposphere

The lowest layer of Earth's atmosphere, where weather occurs and where most atmospheric water vapor exists.

Greenhouse Gases

Gases in Earth's atmosphere, such as carbon dioxide and methane, that trap heat, leading to a warming effect known as the greenhouse effect.