Question

Assume a fixed cost for a process of $120,000. The variable cost to produce each unit of product is $35 and the selling price for the finished product is $50. Which of the following is the number of units that has to be produced and sold to break-even?
A. 5,000 units
B. 6,000 units
C. 8,000 units
D. 11,000 units
E. 12,000 units

Answer

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