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Zeus, Inc Produces a Product That Has a Variable Cost of of $9.50

Question 2

Multiple Choice

Zeus, Inc. produces a product that has a variable cost of $9.50 per unit. The company's fixed costs are $40,000. The product sells for $12.00 a unit and the company desires to earn a $20,000 profit. What is the volume of sales in units required to achieve the target profit? (Do not round intermediate calculations.)


A) 24,000
B) 16,000
C) 17,000
D) 4,000

Correct Answer:

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