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A product has a contribution margin of $3 per unit and selling price of $10 per unit. Fixed costs are $18,000. Assuming new technology doubles
A product has a contribution margin of $3 per unit and selling price of $10 per unit. Fixed costs are $18,000. Assuming new technology doubles the unit contribution margin but increases total fixed costs by $12,000, what is the breakeven point in units?
a. | 2,000 units | |
b. | 5,000 units | |
c. | 3,000 units | |
d. | 6,000 units |
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