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Death by Chocolate Sells Specialty Fudge in Three Flavors: Marshmallow,Plain,and

Question 141

Multiple Choice

Death by Chocolate sells specialty fudge in three flavors: Marshmallow,Plain,and Peanut.They sold 10,000 pounds last year.For every five pounds of fudge sold,one pound is Marshmallow and the remainder is split evenly between Plain and Peanut.Fixed costs for Death by Chocolate are $24,000 and additional information follows:  Marshmallow  Plain  Peanut  Sales price per pound $10.00$8.00$12.00 Variable cost per pound $6.00$5.00$9.00\begin{array}{|l|c|r|r|}\hline& \text { Marshmallow } & \text { Plain } & \text { Peanut } \\\hline \text { Sales price per pound } & \$ 10.00 & \$ 8.00 & \$ 12.00 \\\hline \text { Variable cost per pound } & \$ 6.00 & \$ 5.00 & \$ 9.00 \\\hline\end{array}


-The break-even sales volume in pounds for Death by Chocolate is:


A) 4,800.
B) 1,429.
C) 7,500.
D) 3,125.

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