1.Smith Ltd sells rugby balls for $20 each and incurs variable costs of $15 per ball. Smith Ltd''s break-even point is 40,000 units.What is Smith Ltd's profit when 50,000 units are sold?

Select one:

a.$1,000,000

b.None of the options given

c.$50,000

d.$250,000

2.Smith Ltdsupplied the following information:

Sales, $50 per unit; variable costs, $20 per unit; fixed costs, $1 800; units sold, 200

From this information we can determine that the contribution margin and break-even point are:

Select one:

a.$20 and 60 units

b.$20 and 200 units

c.$30 and 200 units

d.$30 and 60 units

3.Smith Ltdsells a product for $100 per unit; its variable costs are $70 per unit and its total fixed costs are $90,000. What is Smith Ltd's break-even point?

Select one:

a.1,286 units

b.64,286 units

c.3,000 units

d.150,000 units