Multiple Choice
SHARE is trying to determine how many clients must be serviced in order to cover its monthly service overhead. Using the high-low method, it has determined that the variable cost per client is $800 and that the monthly fixed overhead is $28,000. Assuming an average fee of $1,200 per client, the breakeven point per month is
A) 35 clients.
B) 80 clients.
C) 70 clients.
D) 55 clients.
Correct Answer:
Verified
Correct Answer:
Verified
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