Question
Assume the following cost information for Janice Company: Selling price per unit $144 Variable costs per unit $80 Total fixed costs $80,000 Tax rate 40%
Assume the following cost information for Janice Company:
Selling price per unit $144
Variable costs per unit $80
Total fixed costs $80,000
Tax rate 40%
If fixed costs increased by 10% and management wanted to maintain the original break-even point, then the selling price per unit would have to be increased to _____.
| A. | $158.40 | |
| B. | $156.00 | |
| C. | $150.40 | |
| D. | $155.20 |
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Intermediate Accounting
Authors: kieso, weygandt and warfield.
IFRS Edition
978-1118443965, 1118800532, 9781118800539, 978-0470873991
