The following information relates to Lenard Inc. for the first quarter of 20YY: Data Table Accounts Amounts Units sold 30,000 Sales per unit $32 Variable cost per unit $12 Fixed costs $90,000 The company expects to spend an additional $20,000 on advertising expenses during the second quarter of 20YY. The number of break-even units during the second quarter of 20YY would: Group of answer choices Increase by 1,000 units Remain the same Increase by 5,500 units Decrease by 1,000 units
The following information relates to Lenard Inc. for the first quarter of 20YY: Data Table Accounts Amounts Units sold 30,000 Sales per unit $32 Variable cost per unit $12 Fixed costs $90,000 The company expects to spend an additional $20,000 on advertising expenses during the second quarter of 20YY. The number of break-even units during the second quarter of 20YY would: Group of answer choices Increase by 1,000 units Remain the same Increase by 5,500 units Decrease by 1,000 units
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
The following information relates to Lenard Inc. for the first quarter of 20YY:
Data Table| Accounts | Amounts |
|---|---|
| Units sold | 30,000 |
| Sales per unit | $32 |
| Variable cost per unit | $12 |
| Fixed costs | $90,000 |
The company expects to spend an additional $20,000 on advertising expenses during the second quarter of 20YY. The number of break-even units during the second quarter of 20YY would:
Group of answer choices
Increase by 1,000 units
Remain the same
Increase by 5,500 units
Decrease by 1,000 units
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