If the fixed costs are $10,000 and the variable cost/unit is $10 and the break-even is 100 units, what is the selling price per unit?
A)$200.
B)$110.
C)$59.
D)Unable to say without more information.

Question

Quizplus · Accepted Answer

To find the selling price per unit, use the break-even formula: Fixed Costs / (Selling Price - Variable Cost) = Break-even Units. Plug in the values: $10,000 / (Selling Price - $10) = 100. Solving for the Selling Price gives $110.

If the Fixed Costs Are $10,000 and the Variable Cost/unit