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A Computer Store Has a Profit Goal of $50,000 for Computers

Question 99

Multiple Choice

A computer store has a profit goal of $50,000 for computers selling for $1,000 per unit. Its fixed costs are $30,000, and its contribution margin is $100. According to break-even analysis, how many units must be sold to meet the profit goal?


A) Cannot tell without more data
B) 5,000
C) 1,000
D) 800
E) 3,000

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