If a company's sales price per unit is $100,variable costs per unit are $60,and fixed costs for the year are $600,000.How many units must the company sell to break even?
A)36,000
B)22,500
C)15,000
D)9,000

Question

Quizplus · Accepted Answer

To find the break-even point in units, use the formula: Break-even point (units) = Fixed Costs / (Sales price per unit - Variable cost per unit). Here, it is $600,000 / ($100 - $60) = 15,000 units.

If a Company's Sales Price Per Unit Is $100,variable Costs