Question

Larsen Films' is analyzing its cost structure. Its fixed operating costs are $470,000, its variable costs of $2.80 per unit produced, and its products sell for $4.00 per unit. What is the company's breakeven point, i.e., at what unit sales volume would income equal costs?
a. 391,667
b. 411,250
c. 431,813
d. 453,403
e. 476,073

Answer

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