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To Determine the Break-Even Point, or the Number of Units

Question 62

Multiple Choice

To determine the break-even point, or the number of units that must be sold so that no profit or loss occurs, an economist uses the formula To determine the break-even point, or the number of units that must be sold so that no profit or loss occurs, an economist uses the formula   where P is the selling price per unit, x is the number of units that must be sold to break even, C is the cost to make each unit, and F is the fixed cost. A business analyst has determined that the selling price for a laser printer is $1800. The cost to make one laser printer is $960, and the fixed cost is $289,800. Find the break-even point. A)  161 printers B)  345 printers C)  105 printers D)  1455 printers E)  615 printers where P is the selling price per unit, x is the number of units that must be sold to break even, C is the cost to make each unit, and F is the fixed cost. A business analyst has determined that the selling price for a laser printer is $1800. The cost to make one laser printer is $960, and the fixed cost is $289,800.
Find the break-even point.


A) 161 printers
B) 345 printers
C) 105 printers
D) 1455 printers
E) 615 printers

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