contestada

Shapland Inc. has fixed operating costs of $500,000 and variable costs of $50 per unit. If it sells the product for $75 per unit, what is the break-even quantity?

Respuesta :

Answer: 20000

Explanation:

Fixed Operating cost = $500,000

Variable cost = $50 per unit

Selling price = $75 per unit

Break Even Quantity can be calculated as:

Fixed Cost/Unit contribution margin

= 500,000/(75-50)

= 500,000/25

= 20,000

Otras preguntas