Question: 1. If fixed costs are $750,000 and variable costs are 80% of sales, what is the break-even point in sales dollars? a. $937,500 b. $600,000

1. If fixed costs are $750,000 and variable costs are 80% of sales, what is the break-even point in sales dollars?

a. $937,500

b. $600,000

c. $3,750,000

d. $1,275,000

2. If fixed costs are $700,000 and the unit contribution margin is $14, what amount of units must be sold in order to realize an operating income of $100,000?

a. 5,000

b. 41,667

c. 57,143

d. 58,333

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