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Home Q & A Board Other Fields Homework Help Business Accounting
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lodidodiclaudie lodidodiclaudie
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6 years ago
Sparkle Jewelry sells 600 units resulting in $75,000 of sales revenue, $32,000 of variable costs, and $26,000 of fixed costs.

Breakeven point in units is ________.  (Round to the nearest whole unit.)
A) 447 units
B) 684 units
C) 810 units
D) 363 units
Textbook 
Cost Accounting: A Managerial Emphasis

Cost Accounting: A Managerial Emphasis


Edition: 16th
Authors:
Read 71 times
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wrote...
#1
6 years ago
 D
Explanation:  Contribution margin per unit = ($75,000  $32,000) / 600 = $71.67
Breakeven point = $26,000 / $71.67 = 363 units.
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