Question: Cost Analysis Report Mammography Screening Revenue per unit (screening) $58.00 Cost of unit (equipment) $105,000.00 Annual cost of unit (equipment) $21,000.00 Fixed Costs Salaries (1

Cost Analysis Report Mammography Screening Revenue per unit (screening) $58.00 Cost of unit (equipment) $105,000.00 Annual cost of unit (equipment) $21,000.00 Fixed Costs Salaries (1 technician) $40,000.00 Increase in malpractice premium $25,000.00 TOTAL FIXED COSTS $65,000.00 Variable Costs Radiologist fee $20.00 Processing and supplies $28.00 TOTAL VARIABLE COSTS $48.00 Using this table, what is the number of units necessary to break even on an annual basis for a new mammography machine? a. 65,000 b. 8,600 c. 1,483 d. 21,000

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