Bob's variable costs are $7 per unit. His selling price is $9 per unit. His break-even point is 25 000 units.
a. What is the amount of Bob's fixed costs?
b. What is Bob's profit when he sells 30 000 units?
c. What would Bob's profit be if he were able to raise prices to $10 per unit and had sales of 40 000 units?

Question

Quizplus · Accepted Answer

The Answer of Bob's variable costs are $7 per unit. His selling price is $9 per unit. His break-even point is 25 000 units.
a. What is the amount of Bob's fixed costs?
b. What is Bob's profit when he sells 30 000 units?
c. What would Bob's profit be if he were able to raise prices to $10 per unit and had sales of 40 000 units?

Bob's Variable Costs Are $7 Per Unit