A firm made a capital investment of $2.4 million, depreciated straight line over 8 years to zero. The fixed costs excluding depreciation is $576,000. The sales price per unit of product is $1.60. The variable cost per unit is $1.30. What is the firms accounting break-even sales level in terms of the units of product sold?

a.

3.7 million

b.

1.5 million

c.

2.2 million

d.

2.9 million

e.

5.0 million

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