Solved

Use the Information Below to Answer the Following Questions -Refer to the Table Above

Question 39

Multiple Choice

Use the information below to answer the following questions.
Sales Extraordinaire sells one particular photo frame. It estimates that it can sell as many frames as it produces.  Sales price per unit $6.00 Variable cost per unit $3.00 Fixed costs per annum $9,000\begin{array}{lr}\text { Sales price per unit } & \$ 6.00 \\\text { Variable cost per unit } & \$ 3.00 \\\text { Fixed costs per annum } & \$ 9,000\end{array}
-Refer to the table above. Increasing the sales price to $8.00 and having a sales volume of 3,000 photo frames would result in:


A) a profit of $6,000.
B) a loss of $1,000.
C) breaking even.
D) a profit of $1,000.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions