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Assume a sales price per unit of $20, variable cost per unit of $16, and total fixed costs of $168,000. What is the breakeven point?

Assume a sales price per unit of $20, variable cost per unit of $16, and total fixed costs of $168,000. What is the breakeven point?

a. 420,000 units

b. $420,000

c. 840,000 units

d. $840,000

(answer a is incorrect; also please show all steps in calculating the correct answer)

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