Sanderson Sells a Single Product for $50 That Has a Variable

Multiple Choice

Sanderson sells a single product for $50 that has a variable cost of $30. Fixed costs amount to $5 per unit when anticipated sales targets are met. If the company sells one unit in excess of its break-even volume, profit will be:

A) $15.
B) $20.
C) $50.
D) an amount that cannot be derived based on the information presented.
E) an amount other than $15, $20, or $50 and one that can be derived based on the information presented.