A retail store operates multiple departments, each with different fixed costs and variable costs. Department X has
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Question:
A retail store operates multiple departments, each with different fixed costs and variable costs. Department X has fixed costs of $60,000 per month and variable costs of $5 per unit sold. Department Y has fixed costs of $80,000 per month and variable costs of $7 per unit sold. If the selling price per unit is $20 for both departments, which department has a higher breakeven point in units?
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