Market demand allowed Acme Corp.to raise its price by 20 percent to $60.What is the new level of break-even revenues if fixed charges including depreciation are $1 million and variable costs were 70 percent of the old price? (use the values in dollar)
A)$2,000,000
B)$2,400,000
C)$2,857,143
D)$3,333,333

Question

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The Answer of Market demand allowed Acme Corp.to raise its price by 20 percent to $60.What is the new level of break-even revenues if fixed charges including depreciation are $1 million and variable costs were 70 percent of the old price? (use the values in dollar)
A)$2,000,000
B)$2,400,000
C)$2,857,143
D)$3,333,333

Market Demand Allowed Acme Corp