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Total Sales revenue (30,000 units) $750,000 Variable costs 450,000 Contribution margin 300,000 ? Fixed costs 150,000 Operating income $150,000 Now assume that this company's selling price per unit and variable cost per unit stay the same while total fixed costs increases by $100,000 per year. This company's breakeven point will: increase O decrease remain the same Per unit 25 15

Total Sales revenue (30,000 units) $750,000 Variable costs 450,000 Contribution margin 300,000 ? Fixed costs 150,000 Operating income $150,000 Now assume that this company's selling price per unit and variable cost per unit stay the same while total fixed costs increases by $100,000 per year. This company's breakeven point will: increase O decrease remain the same Per unit 25 15

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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### Question 19 #### Table Data: | Description | 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| | Now assume that this company's selling price per unit and variable cost per unit stay the same while total fixed costs increase by $100,000 per year. This company’s breakeven point will: - [ ] increase - [ ] decrease - [ ] remain the same --- #### Instruction: Click **Save and Submit** to save and submit. Click **Save All Answers** to save all answers.
Transcribed Image Text:### Question 19 #### Table Data: | Description | 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| | Now assume that this company's selling price per unit and variable cost per unit stay the same while total fixed costs increase by $100,000 per year. This company’s breakeven point will: - [ ] increase - [ ] decrease - [ ] remain the same --- #### Instruction: Click **Save and Submit** to save and submit. Click **Save All Answers** to save all answers.
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