Multiple Choice
Everclean Company cleans draperies. It charges $90 to clean a full-size drape, and its variable and fixed costs are $55 per drape and $10,000 per year, respectively. Given these data, if Everclean's variable costs were reduced to $50 per drape, how many drapes would the firm have to clean to break even?
A) 250
B) 286
C) 200
D) 112
Correct Answer:
Verified
Correct Answer:
Verified
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