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A Company with Fixed Costs of $10,000 Per Month Has

Question 22

Multiple Choice

A company with fixed costs of $10,000 per month has a target price of $165 for their sole product, a heat shield for masonry fireplaces. What level of output represents their break-even point if their variable cost for producing is $35 per unit?


A) between 60 and 70 units
B) between 70 and 80 units
C) between 80 and 90 units
D) between 90 and 100 units

Correct Answer:

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