What is the break-even point in units if fixed costs are $10,000 and the contribution margin per unit is $25?

Practice Questions

1 question
Q1
What is the break-even point in units if fixed costs are $10,000 and the contribution margin per unit is $25?
  1. 400 units
  2. 500 units
  3. 600 units
  4. 300 units

Questions & Step-by-step Solutions

1 item
Q
Q: What is the break-even point in units if fixed costs are $10,000 and the contribution margin per unit is $25?
Solution: Break-even point (units) = Fixed costs / Contribution margin per unit = $10,000 / $25 = 400 units.
Steps: 5

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