Blackmon Co. is deciding between two compensation plans. In Plan A, salaries are $100,000 and the commission is $2 per unit. In Plan B, salaries are $40,000 and the commission is $4 per unit. At what level of sales, in units, is Blackmon indifferent between the two compensation plans?
A) 30,000
B) 20,000
C) 10,000
D) Cannot be determined
Correct Answer:
Verified
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