EJL Herbal Remedies sells several products for an average price of $17 per unit. Average variable costs per unit are as follows:
EJL's annual fixed costs total $82,500.
-The number of units that EJL must sell each year to break even is:
A)4,853 units.
B)7,857 units.
C)11,000 units.
D)13,000 units.

Question

EJL Herbal Remedies sells several products for an average price of $17 per unit. Average variable costs per unit are as follows:  
EJL's annual fixed costs total $82,500.
-The number of units that EJL must sell each year to break even is:
A)4,853 units. 
B)7,857 units. 
C)11,000 units. 
D)13,000 units.

Quizplus · Accepted Answer

C)$82,500/ $7.50 = 11,000 units

EJL Herbal Remedies Sells Several Products for an Average Price