Felicia wants to know how many units she must sell to cover all of her costs.She indicates to you that her selling price is $20 per units,her fixed costs are $6,000,and the variable costs per unit are $15 per unit.What is her break-even point?

Question

Quizplus · Accepted Answer

The break-even point is calculated by dividing the fixed costs by the difference between the selling price per unit and the variable cost per unit: $6,000 / ($20 - $15) = 1,200 units.

Felicia Wants to Know How Many Units She Must Sell