A Corporation budgets fixed expenses of $250,000: variable expenses of $180,000 and a sale of 15,000 units for $28 each. If the Company could increase its selling price by $2 each and decrease its variable expenses to $150,000, the number of units to be sold in order to break-even would be a. 12,500 units b. 13,889 units c. 12,863 units d. 14,463 units
A Corporation budgets fixed expenses of $250,000: variable expenses of $180,000 and a sale of 15,000 units for $28 each. If the Company could increase its selling price by $2 each and decrease its variable expenses to $150,000, the number of units to be sold in order to break-even would be a. 12,500 units b. 13,889 units c. 12,863 units d. 14,463 units
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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A Corporation budgets fixed expenses of $250,000: variable expenses of $180,000 and a sale of 15,000 units for $28 each. If the Company could increase its selling price by $2 each and decrease its variable expenses to $150,000, the number of units to be sold in order to break-even would be
a. 12,500 units
b. 13,889 units
c. 12,863 units
d. 14,463 units
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