Question
14. Test Company produced and sold 10,000 units at a price of $20 per unit for the month of July. The total cost of $185,000
14.
Test Company produced and sold 10,000 units at a price of $20 per unit for the month of July. The total cost of $185,000 included $140,000 of variable costs. All remaining costs are fixed.
Determine the number of units Test Company must sell to break even.
Note: Give your answer using commas. Do not include the word units.
Example: 12,345
15.
Test Company produced and sold 10,000 units at a price of $20 per unit for the month of July. The total cost of $185,000 included $140,000 of variable costs. All remaining costs are fixed.
Determine the dollar amount of sales revenue Test Company must generate to earn operating income of $21,000.
Note: Give your answer using dollar signs and commas but no decimal points (cents).
Example: $12,345
16.
Test Company produced and sold 10,000 units at a price of $20 per unit for the month of July. The total cost of $185,000 included $140,000 of variable costs. All remaining costs are fixed.
Determine the margin of safety in dollars for the month of July.
Note: Give your answer using dollar signs and commas but no decimal points (cents).
Example: $12,345
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