Given the following data,what is the BEP-in dollars? Selling price = $2.00
Variable cost = $1.00
Fixed cost = $150,000
A)$300,000
B)$400,000
C)$100,000
D)$200,000
E)$50,000

Question

Quizplus · Accepted Answer

The BEP,in units,can be found by dividing total fixed costs (TFC)by the fixed-cost (FC)contribution per unit.The fixed-cost (FC)contribution per unit is the assumed selling price per unit minus the variable cost per unit.The BEP can also be figured in dollars.The easiest way is to compute the BEP in units and then multiply by the assumed per-unit price.

Given the Following Data,what Is the BEP-In Dollars? Selling Price