A Manager Has Determined That a Potential New Product Can

question 15

Multiple Choice

A manager has determined that a potential new product can be sold at a price of $50.00 each. The cost to produce the product is $35.00, but the equipment necessary for production must be leased for $100,000 per year. What is the break-even point?

• A) 3,333 units.
• B) 5,000 units.
• C) 6,667 units.
• D) 7,500 units.
• E) 8,167 units.

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Definitions:

Medical Science

A branch of science focused on the study, diagnosis, treatment, and prevention of diseases and conditions affecting humans and animals.

Health Care Costs

The expenses associated with medical services, treatments, medication, hospital care, and other health-related products.

Single-Payer System

A health care system in which the government is the principal payer of medical bills funded through taxes.

Funded Through Taxes

Financed by revenues obtained from taxing individuals and businesses.