If Fixed Costs Are $400,000, the Unit Selling Price Is

question 93

Multiple Choice

If fixed costs are $400,000, the unit selling price is $25, and the unit variable costs are $15, what is the break-even sales (units) if the variable costs are increased by $2?

• A) 50,000 units
• B) 30,770 units
• C) 40,000 units
• D) 26,667 units

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Definitions:

Doctor's Office

A medical facility where doctors diagnose and treat illnesses, offer health consultations, and provide preventive care.

Heterogeneous

Comprised of varying elements or components that differ from one another; varied in nature or substance.

Service-Product Continuum

is a concept that illustrates a range extending from pure service to pure product, showing that most market offerings consist of a mix of both.

Grocery Store

A grocery store is a retail establishment that specializes in selling food and other household goods to consumers for everyday consumption.