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Bates Company currently produces and selis 6,000 units of a product that has a contribution margin or $7 per unit. The company sells the product
Bates Company currently produces and selis 6,000 units of a product that has a contribution margin or $7 per unit. The company sells the product for a sales price of $24 per unit. Fixed costs are $29,400. The company has recently invested in new technology and expects the variable cost per unit to fall to $12 per unit. The investment is expected to increase fixed costs by $21,000. After the new investment is made, how many units must be sold to breakeven? (Do not round intermediate calculations.) Muitiple Choice 5,450 units 4.200 units 2.450 units 7,200 units
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