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the current price per unit for shock absorbers produced by leveland products is $25. The variable cost per unit is $10. Fixed costs are $600,000. What is the breakeven point in units?

Respuesta :

waseemanis1

Answer:

40,000 units

Explanation:

Breakeven point (Unit) = Fixed cost / Contribution margin per unit

Contribution margin: Sale price - Variable cost

Contribution margin: 25 - 10 = $15

Breakeven point: $600,000 / 15

Breakeven point: 40,000

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