Sales Price – NBC Institute

MI – May 2016 – L1 – SA – Q11 – Cost-Volume-Profit Analysis

Calculate the number of units required to break even given the fixed costs, sales price, and marginal cost.

Question

A company manufactures a single product with a sales price of N1,000 and a marginal cost of N650. If the fixed cost is N685,300 per annum, then the number of units required to Break Even is:

A. 1,950
B. 1,955
C. 1,958
D. 1,985
E. 1,988

Answer

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Tags: Break-Even Point, Fixed Costs, Marginal Cost, Sales Price
Level: Level 1

Topic: Cost-Volume-Profit (CVP) Analysis
Series: MAY 2016

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MI – May 2016 – L1 – SA – Q11 – Cost-Volume-Profit Analysis

Calculate the number of units required to break even given the fixed costs, sales price, and marginal cost.

MI – May 2016 – L1 – SA – Q11 – Cost-Volume-Profit Analysis

Calculate the number of units required to break even given the fixed costs, sales price, and marginal cost.

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MI – May 2016 – L1 – SA – Q11 – Cost-Volume-Profit Analysis

Calculate the number of units required to break even given the fixed costs, sales price, and marginal cost.

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MI – May 2016 – L1 – SA – Q11 – Cost-Volume-Profit Analysis

Calculate the number of units required to break even given the fixed costs, sales price, and marginal cost.

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