Corny and Sweet grows and sells sweet corn at its roadside produce stand. The selling price per dozen is $4.00, variable costs are $1.25 per dozen, and total fixed costs are $825.00. How many dozens of ears of corn must Corny and Sweet sell to breakeven?

Question

Quizplus · Accepted Answer

To calculate the breakeven point in units, use the formula: Breakeven Point (units) = Total Fixed Costs / (Selling Price per Unit - Variable Cost per Unit). Plugging in the given numbers: $825 / ($4.00 - $1.25) = $825 / $2.75 = 300.

Corny and Sweet Grows and Sells Sweet Corn at Its