Kosco Corporation produces a single product. The company's absorption cost income statement for March is as follows:

Kosco Corporation Income Statement For the month ended March 31
Sales (2,400 units)		$48,000
cost of goods sold		24,000
Gross margin		24,000
Selling and administration expenses:
Fixed	$7,200
Variable	9,600	16,800
operating margin		$7,200

During March, the company's variable production costs were $8 per unit and its fixed manufacturing overhead costs totaled $5,000.

Calculate the break-even point in units for the month under variable costing.

Answer rating: 100% (QA)

Under variable costing the breakeven point is the level of sales at which the contribution margin eq... View the full answer