If unit variable costs for a product is $6, the selling price of the product is $10, and the fixed costs are $48,000. How many units must be sold to break-even point?
A) 3,000
B) 4,800
C) 8,000
D) 12,000

Question

Quizplus · Accepted Answer

If unit variable costs for a product is $6, the selling price of the product is $10, and the fixed costs are $48,000, to breakeven the company will need to sell 12,000 units. Contribution margin per unit is $4.00 ($10-$6). Breakeven then is 48,000 divided by 4.

If Unit Variable Costs for a Product Is $6, the Selling