I don't need ai answer general accounting question Mountain Creek Ceramics produces pottery with a selling price of$120 per unit. The variable cost per unit is $45, and total fixed costsare $180,000. If fixed costs increase by $25,000, how manyadditional units must be sold to break even?

Step 1: Definition of Break-Even PointThe break-even point is the level of sales at which total…

Answered: Mountain Creek Ceramics produces…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter14: Capital Structure Management In Practice

Section14.A: Breakeven Analysis

Problem 7P

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Mountain Creek Ceramics produces pottery with a selling price of $120 per unit. The variable cost per unit is $45, and total fixed costs are $180,000. If fixed costs increase by $25,000, how many additional units must be sold to break even?