Asked by
Audrey Berger
on Dec 09, 2024Verified
A project has an accounting break-even point of 41,400 units. The fixed costs are $198,634 and the depreciation expense is $21,200. The projected variable cost per unit is $41.50. What is the projected sales price?
A) $37.07
B) $41.41
C) $42.19
D) $46.81
E) $54.28
Sales Price
The total cost that a consumer incurs to buy a product or service from a merchant.
Fixed Costs
Expenses that do not change with variations in the level of output or sales, such as rent, salaries, and insurance.
Variable Cost
Expenses that change in direct relation to production levels or sales figures.
- Assess the impact of variations in sales volume, costs, and pricing on the profitability outcomes of a project.
- Ascertain the Earnings Before Interest and Taxes (EBIT) from delineated situations.
Verified Answer
CL
Learning Objectives
- Assess the impact of variations in sales volume, costs, and pricing on the profitability outcomes of a project.
- Ascertain the Earnings Before Interest and Taxes (EBIT) from delineated situations.