A Company Has Fixed Costs of $90,000

question 31

Multiple Choice

A company has fixed costs of $90,000. Its contribution margin ratio is 30% and the product sells for $75 per unit. What is the company's break-even point in dollar sales?

• A) $60,000.
• B) $128,571.
• C) $180,000.
• D) $210,000.
• E) $300,000.

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Definitions:

Mental Flexibility

The ability to adapt one's thinking and behavior in response to changing situations or new information.

Creativity

The process of generating innovative ideas and solutions through imaginative thinking and problem-solving.

Memory Performance

The efficiency and accuracy with which an individual can recall or recognize previously learned information.

Learning

Learning is the process of acquiring new understanding, knowledge, behaviors, skills, values, or preferences, often through study, experience, or teaching.