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12 January, 14:50

Hevesy Inc. produces and sells a single product. The selling price of the product is $200.00 per unit and its variable cost is $80.00 per unit. The fixed expense is $300,000 per month. The break-even in monthly unit sales is closest to:

a. 2,500

b. 2,583

c. 3,750

d. 1,500

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Answers (1)
  1. 12 January, 15:55
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    A - 2500

    Explanation:

    Break even = fixed cost / selling price - variable cost

    Break even = 300000/200-80

    =300000/120

    =2500
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