Dr. Charles Hunter, MD, performs a certain outpatient procedure for $1,300. His fixed costs are $24,000 per month and his variable costs are $500 per procedure. Dr. Hunter currently plans to perform 400 procedures this month. What is the breakeven point for the month assuming that Dr. Hunter plans to perform the procedure 400 times?
A) 30 times
B) 19 times
C) 28 times
D) 10 times

Question

Quizplus · Accepted Answer

$1,300N - $500N - $24,000 = 0; $500N = $24,000; N = 30 times

Dr Charles Hunter, MD, Performs a Certain Outpatient Procedure for $1,300