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Answer the Following Questions Using the Information Below

Question 98

Multiple Choice

Answer the following questions using the information below:
Martha Manufacturing produces a single product that sells for $80. Variable costs per unit equal $32. The company expects total fixed costs to be $72,000 for the next month at the projected sales level of 2,000 units. In an attempt to improve performance, management is considering a number of alternative actions. Each situation is to be evaluated separately.
-What is the current breakeven point in terms of number of units?


A) 1,500 units
B) 2,250 units
C) 3,333 units
D) None of these answers are correct.

Correct Answer:

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