A Manager Has Determined That a Potential New Product Can

question 42

Multiple Choice

A manager has determined that a potential new product can be sold at a price of $10.00 each. The cost to produce the product is $5.00, but the equipment necessary for production must be leased for $25,000 per year. What is the break-even point?

• A) 2,500 units.
• B) 5,000 units.
• C) 7,500 units.
• D) 10,000 units.
• E) 25,000 units.

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Definitions:

Retaliate

To respond to an action or injury with a similar action, typically in a harmful manner.

Criminal Act

An action or instance of behavior that violates laws which have been established to protect the community and maintain public order.

Undue Hardship

A significant difficulty or expense imposed on an employer by accommodating an employee's disability or religious practices.

Small Business

An enterprise that is independently owned and operated, often characterized by a small number of employees and limited revenue.