Shock Electronics sells portable heaters for $35 per unit, and the variable cost to produce them is $22. Mr. Amps estimates that the fixed costs are $97,500.
a. Compute the break-even point in units.
b. Fill in the following table (in dollars) to illustrate that the break-even point has been achieved.
Sales........ ____________
– Fixed costs..... ____________
– Total variable costs. ____________
Net profit (loss).... ____________