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The ABC Corporation Is Considering Introducing a New Product,which Will

Question 36

Multiple Choice

The ABC Corporation is considering introducing a new product,which will require buying new equipment for a monthly payment of $5,000.Each unit produced can be sold for $20.00.ABC incurs a variable cost of $10.00 per unit.Suppose that ABC would like to realize a monthly profit of $50,000.How many units must they sell each month to realize this profit?


A) 500 units
B) 450 units
C) 4500 units
D) 5000 units
E) 5500 units

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