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Aproductsellsfor$30perunitandhasvariablecostsof$18perunit.Thefixedcostsare$720,000.Ifthevariablecostsperunitweretodecreaseto$15perunit,fixedcostsincreaseto $900,000,andthesellingpricedoesnotchange,break-evenpointinunitswould: A.Notchange B.Decreaseby20,000 C.Equal6,000 D.Increaseby6,000
Aproductsellsfor$30perunitandhasvariablecostsof$18perunit.Thefixedcostsare$720,000.Ifthevariablecostsperunitweretodecreaseto$15perunit,fixedcostsincreaseto $900,000,andthesellingpricedoesnotchange,break-evenpointinunitswould:
A.Notchange
B.Decreaseby20,000
C.Equal6,000
D.Increaseby6,000
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