XYZ Corporation has fixed costs of $50,000, a variable cost per unit of $1.25, and a break-even point of 8,000 units. What is the price per unit?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter14: Capital Structure Management In Practice
Section14.A: Breakeven Analysis
Problem 7P
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XYZ Corporation has fixed costs of $50,000, a
variable cost per unit of $1.25, and a break-even point
of 8,000 units. What is the price per unit?
Transcribed Image Text:XYZ Corporation has fixed costs of $50,000, a variable cost per unit of $1.25, and a break-even point of 8,000 units. What is the price per unit?
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