Total Sales revenue (30,000 units) $750,000 Variable costs 450,000 Contribution margin 300,000 ? Fixed costs 150,000 Operating income $150,000 Now assume that this company's selling price per unit and variable cost per unit stay the same while total fixed costs increases by $100,000 per year. This company's breakeven point will: increase O decrease remain the same Per unit 25 15

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 4BE
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Related questions
Question
QUESTION 19
Total
Sales revenue (30,000 units)
$750,000
Variable costs
450,000
Contribution margin
300,000
?
Fixed costs
150,000
Operating income
$150,000
Now assume that this company's selling price per unit and variable cost per unit stay the same while total fixed costs increases by $100,000 per year. This company's
breakeven point will:
O increase
O decrease
O remain the same
Click Save and Submit to save and submit. Click Save All Answers to save all answers.
MacBook Pro
*
C
#
G
ff.
%
<
(>))
&
Per unit
25
15
Transcribed Image Text:QUESTION 19 Total Sales revenue (30,000 units) $750,000 Variable costs 450,000 Contribution margin 300,000 ? Fixed costs 150,000 Operating income $150,000 Now assume that this company's selling price per unit and variable cost per unit stay the same while total fixed costs increases by $100,000 per year. This company's breakeven point will: O increase O decrease O remain the same Click Save and Submit to save and submit. Click Save All Answers to save all answers. MacBook Pro * C # G ff. % < (>)) & Per unit 25 15
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