Jenkins Corporation sells one product. The following information is available for the current month:

What is the absorption costing breakeven point in units? (Round your final answer up to the next whole unit.)
A) 6,272 units
B) 840 units
C) 2,744 units
D) 8,344 units

Question

Jenkins Corporation sells one product. The following information is available for the current month:

What is the absorption costing breakeven point in units? (Round your final answer up to the next whole unit.)
A) 6,272 units 
B) 840 units 
C) 2,744 units 
D) 8,344 units

Quizplus · Accepted Answer

Breakeven units N = [($826,000 + ($49 × (N - 16,000))] / ($110 - $8 - $3) = 840 units

Jenkins Corporation Sells One Product