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Elizabeth Bought a Worm Farm

Question 48

Multiple Choice

Elizabeth bought a worm farm.She plans to sell small cartons of worms for $4 each.Her fixed costs are $2,500,and her variable costs for each carton sold are $1.50.How many small cartons of worms does Elizabeth need to sell to break-even?


A) 455 cartons
B) 625 cartons
C) 1000 cartons
D) 1667 cartons
E) Cannot be determined from the information given

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