Ali is the managerial accountant in charge of Company A, which sells water bottles. He previously determined that the fixed costs of Company A is equal to $200,000. The variable cost associated with producing one water bottle is $5 per unit. The water bottle is sold at a premium price of $10. What is the production of the company at break even point? O A) 50.000 O B) 25.000 Oc) 40.000 OD) 30.000 OE) 20.000 1718005

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Short-Run Costs and Long-Run Costs

Cost of short-run and the long-run is an economic term that describes the cost involved in the production of goods in a firm in the short as well as long period.