Locus Company Has Total Fixed Costs of $112,000

question 89

Multiple Choice

Locus Company has total fixed costs of $112,000.Its product sells for $35 per unit and variable costs amount to $25 per unit.Next year Locus Company wishes to earn a pretax income that equals 10% of fixed costs.How many units must be sold to achieve this target income level?

• A)1,120.
• B)8,214.
• C)11,200.
• D)12,320.
• E)14,080.

Understand the role of self-awareness in managing emotions effectively.

Understand various ways to manage and control emotions.

Analyze the impact of separating personal emotions from business decisions.

Develop strategies for enhancing cultural intelligence in a new cultural setting.

---

Definitions:

MU ᵦ/P ᵦ Ratio

Represents the marginal utility of good B (MUᵦ) divided by its price (Pᵦ), used in consumer theory to analyze optimal consumption points.

TP or MP Curves

Total Product (TP) and Marginal Product (MP) curves are graphical representations in economics that illustrate the total output produced and the additional output from employing one more unit of a resource, respectively.

MR Curve

The marginal revenue curve, which shows how a firm's revenue changes with each additional unit sold.

Marginal Utility

The supplementary enjoyment or value derived from the use of one more unit of a good or service.