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Q1) Selling price per unit-$20;

 

total fixed expenses-$5,000;

 

variable expenses per unit-$15.

 

Determine break-even sales in units.

 

Q2) Product sells for $200 per unit, and its variable costs per unit are $130. Fixed costs are $420,000. If firm wishes to earn $35,000 pretax income, how many units should be sold?

 

A. 5,500
B. 6,500
C. 500
D. 6,000
E. 5,000

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M918931

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