Entertainment Central Makes Video Game Consoles,which It Sells for $500

question 15

Multiple Choice

Entertainment Central makes video game consoles,which it sells for $500.It estimates its variable costs to be $200 per console.It figures its fixed costs to be $600,000 per year.How many consoles does it have to sell to break even?

• A) 2,000
• B) 2,500
• C) 3,000
• D) 1,200