Chapter 5, Problem 4P

Organic Harvest Inc. sells 40-pound bags of apples to grocery stores for $12 per bag. The fixed costs of the operation are $84,000, and the variable cost of apples is $0.15 per pound. What is the break-even point in bags? a) 5,600 bags b) 7,000 bags c) 8,400 bags d) 10,200 bags

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