Santa Fe Production sells a single product to wholesalers. The company's budget for the upcoming year revealed anticipated unit sales of 31,600, a selling price of $20, variable cost per unit of $8, and total fixed costs of $360,000. If Santa Fe's unit sales are 200 units less than anticipated, its break-even point will: decrease by $12 per unit sold. decrease by $8 per unit sold. increase by $12 per unit sold. increase by $8 per unit sold. not change.
Santa Fe Production sells a single product to wholesalers. The company's budget for the upcoming year revealed anticipated unit sales of 31,600, a selling price of $20, variable cost per unit of $8, and total fixed costs of $360,000. If Santa Fe's unit sales are 200 units less than anticipated, its break-even point will: decrease by $12 per unit sold. decrease by $8 per unit sold. increase by $12 per unit sold. increase by $8 per unit sold. not change.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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