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Jackson Company Currently Sells Its Products for $1,000 Per Unit

Question 118

Multiple Choice

Jackson Company currently sells its products for $1,000 per unit.Management is contemplating a 10% increase in the selling price for the next year.Variable costs are currently 40% of sales revenue and are not expected to change next year.Fixed expenses are $140,000 per year. What is the breakeven point in units at the anticipated selling price per unit next year?


A) 93 units
B) 200 units
C) 467 units
D) 280 units

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