Scenario 13-2

Scenario 13-2. Benjamin has been running his kennel service for one year. So far, business has been good and all expenses have been met each month, leaving a small profit. He has a large building capable of handling a total of 35 dogs. Each pen has fresh water supplied through pipes, an automated feeder, and a heating/cooling unit that keeps each pen at a comfortable 68 degrees. Benjamin rents each pen at a price of $30 per day. His total fixed costs each month are $500. Average variable costs are $12.
-In Scenario 13-2, Benjamin would like to determine his breakeven point in dollars instead of pen rentals. When he calculated this using the original data, his breakeven point would be ______.

A) $834
B) $956
C) $1,012
D) $1,248