Question: Hsu, Inc. sells a single product for $14. variable costs are $9 per unit and fixed costs total $420000 at a volume level of 60000

Hsu, Inc. sells a single product for $14. variable costs are $9 per unit and fixed costs total $420000 at a volume level of 60000 units. Assuming that fixed costs do not change, Hsu's break even point would be

a. 30000 units

b. 46667 units

c. 84000 units

d. negative because the company loses $2 on every unit sold

e. A positive amount other than the specific amounts given

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!