Sales Extraordinaire sells one photo frame. The sales price per unit is $6. The variable cost per unit is $2. Fixed costs per annum are $9,000 and having a sales volume of 3,000 photo frames would result in: a. a profit of $3,000. b. a loss of $1,000. c. breaking even. d. a profit of $1,000.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 7EB: Delta Co. sells a product for $150 per unit. The variable cost per unit is $90 and fixed costs are...
icon
Related questions
Question
100%

Please need answer the question not use ai

Sales Extraordinaire sells one photo frame. The sales price
per unit is $6. The variable cost per unit is $2. Fixed costs
per annum are $9,000 and having a sales volume of 3,000
photo frames would result in:
a. a profit of $3,000.
b. a loss of $1,000.
c. breaking even.
d. a profit of $1,000.
Transcribed Image Text:Sales Extraordinaire sells one photo frame. The sales price per unit is $6. The variable cost per unit is $2. Fixed costs per annum are $9,000 and having a sales volume of 3,000 photo frames would result in: a. a profit of $3,000. b. a loss of $1,000. c. breaking even. d. a profit of $1,000.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning