Question
3.Our company sells a product for $120 per unit. Variable costs are $90 per unit and fixed costs are $4,000. The company expects to sell
3.Our company sells a product for $120 per unit. Variable costs are $90 per unit and fixed costs are $4,000. The company expects to sell 200 units this year. How many units must we sell to earn a profit of $2,000?
a.200
b.250
c.300
d.340
4.Our company has reviewed the utilities bills for our company. We have determined that the highest and lowest bills were $5,000 and $3,200 for the months of January and September. If we produced 1,050 and 600 units in these months, what was the fixed cost associated with the utilities bill?
a.$435.50
b.$485.00
c.$590.00
d.$800.00
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