Question: Hello, i know what the answer is but I don't understand how it was achieved. I would just like clarification thanks. Company A sells its
Hello, i know what the answer is but I don't understand how it was achieved. I would just like clarification thanks.
Company A sells its product for $10 per unit. If Company A has variable expenses of $5 per unit and fixed expenses of $200,000, the break-even point in units and dollars is 40,000 units and $400,000 20,000 units and $200,000 Reason: $200,000 = 5 = 40,000 units $10 each = $400,000 O 50,000 units and $500,000 Reason: $200,000 - 5 = 40,000 units $10 each = $400,000 O 13,333 units and $133,330 Reason: $200,000 = 5 = 40,000 units $10 each = $400,000 Correct Answer 40,000 units and $400,000
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