Question: Practice Homework Due Ending Week 8 Background: The fiscal year is winding down and the company you work for is counting on you to run
Practice Homework Due Ending Week 8 Background: The fiscal year is winding down and the company you work for is counting on you to run some analysis on company financials. The company had a great year, but the managers want a second set of eyes to look at these numbers. Determine the answer for the following situation and report back to your manager. Assume the following for the Company: Sales (10,000 units )=$400,000. Fixed expenses =$105,000. Break-even point =$350,000. If sales price increased 10% and variable expenses increased $2.00 per unit, which of the following is true? A. The new break-even point is $330,000. B. The new selling price is $36.00 per unit. C. The new variable expenses are $26.00 per unit. D. The new break-even point is 9,000 units. E. None of the above. Background/context at the top is not really needed, but please select best answer above
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