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A company uses cost-volume-profit analysis to evaluate a new product. The total fixed costs of production per year are $160,000. The unit variable cost is
A company uses cost-volume-profit analysis to evaluate a new product. The total fixed costs of production per year are $160,000. The unit variable cost is $50. Which one of the following combinations of unit selling price and breakeven number of units sold per year is correct?
A. $50 selling price and 3,200 breakeven number of units.
B. $100 selling price and 1,600 breakeven number of units.
C. $25 selling price and 6,400 breakeven number of units.
D. $70 selling price and 8,000 breakeven number of units
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