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A Company Sells Its Product for $30 and Has a Variable

Question 128

Multiple Choice

A company sells its product for $30 and has a variable operating cost of $15 per unit and produces a $10 per unit contribution to fixed costs. If the firm has total fixed costs of $30,000, what is the quantity of units that the firm should produce in order to breakeven?


A) 2000 units
B) 3000 units
C) 2020 units
D) 1900 units

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