If fixed costs are $790,000 and the unit contribution margin is $60,what amount of units must be sold in order to have a zero profit?
A)8,353 units
B)13,167 units
C)6,570 units
D)65,833 units

Question

Quizplus · Accepted Answer

To achieve zero profit, the number of units sold must cover the fixed costs. The break-even point in units is calculated by dividing the fixed costs by the unit contribution margin: $790,000 / $60 = 13,167 units.

If Fixed Costs Are $790,000 and the Unit Contribution Margin