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Only one answer is correct, and that is one of the options.

Jimmy Olsen, Inc. sells photographs for $200 each. With sales of 11,000 photos, Jimmy Olsen realized an operating profit (i.e. EBIT) of $400,000. Fixed o and annual interest expense is $200,000. If the operating breakeven point in dollars is $866,666.67, what is the variable cost per unit?

A. $60

B. $120

C. $140

D. $160

E. $180