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Total Per unit Sales revenue (30,000 units) $750,000 25 Variable costs 450,000 15 Contribution margin 300,000 Fixed costs 150,000 Operating income $150,000 Assume that selling price per unit and variable cost per unit stay the same, and there is no change in total fixed costs. If this company's sales increase from 30,000 units to 40,000 units, this company's breakeven point will O increase O decrease O remain the same

Total Per unit Sales revenue (30,000 units) $750,000 25 Variable costs 450,000 15 Contribution margin 300,000 Fixed costs 150,000 Operating income $150,000 Assume that selling price per unit and variable cost per unit stay the same, and there is no change in total fixed costs. If this company's sales increase from 30,000 units to 40,000 units, this company's breakeven point will O increase O decrease O remain the same

FINANCIAL ACCOUNTING
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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Total Per unit Sales revenue (30,000 units) $750,000 25 Variable costs 450,000 15 Contribution margin 300,000 Fixed costs 150,000 Operating income $150,000 Assume that selling price per unit and variable cost per unit stay the same, and there is no change in total fixed costs. If this company's sales increase from 30,000 units to 40,000 units, this company's breakeven point will O increase O decrease O remain the same
Transcribed Image Text:Total Per unit Sales revenue (30,000 units) $750,000 25 Variable costs 450,000 15 Contribution margin 300,000 Fixed costs 150,000 Operating income $150,000 Assume that selling price per unit and variable cost per unit stay the same, and there is no change in total fixed costs. If this company's sales increase from 30,000 units to 40,000 units, this company's breakeven point will O increase O decrease O remain the same
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