KGM Inc. has fixed costs of $900,000. When 60,000 units are produced, the total costs (both fixed and variable) amount to $1,200,000. Calculate the total costs if the production level is decreased by 20 percent. (Round any intermediate calculations to the nearest cent, and your final answer to the nearest dollar.) Group of answer choices $540,000 $960,000 $1,440,000 $1,140,000

KGM Inc. has fixed costs of $900,000. When 60,000 units are produced, the total costs (both fixed and variable) amount to $1,200,000. Calculate the total costs if the production level is decreased by 20 percent. (Round any intermediate calculations to the nearest cent, and your final answer to the nearest dollar.) Group of answer choices $540,000 $960,000 $1,440,000 $1,140,000

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter14: Capital Structure Management In Practice

Section14.A: Breakeven Analysis

Problem 5P

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