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Davison Toaster Corp The Break-Even Point Is
A)less Than 3,000 Units

Question 11

Multiple Choice

Davison Toaster Corp. sells its products for $150 per unit. It has the following costs:  Rent $115,000 Factory labor $20 per unit  Executive salaries $200,000 Raw materials $6 per unit \begin{array} { l l } \text { Rent } & \$ 115,000 \\\text { Factory labor } & \$ 20 \text { per unit } \\\text { Executive salaries } & \$ 200,000 \\\text { Raw materials } & \$ 6 \text { per unit }\end{array} The break-even point is


A) less than 3,000 units.
B) 3,000 units.
C) more than 3,500 units.
D) Not enough information has been provided to determine the break-even point.

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