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Aisha Sells Cutlery Sets for £120 Per Set

Question 15

Multiple Choice

Aisha sells cutlery sets for £120 per set. Variable costs of production are £72 and the fixed costs per cutlery set are £6 based on the expectation that the normal level of production will be 42,000 cutlery sets per annum. A sales commission of £3 is paid to the company's sales representatives for every cutlery set sold. What is Aisha's break-even point in sales?


A) 5,250
B) 5,600
C) 6,000
D) 6,462

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