Answered: the firm must have a sales price per…

Business

Accounting

the firm must have a sales price per unit of at least *

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

A firm has fixed costs of P200,000 and variable costs per unit of P6. It plans on selling 40,000 units in the coming year. To realize a profit of P20,000, the firm must have a sales price per unit of at least *

a. P11.00.

b. P11.50.

c. P10.00.

d. P10.50.

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