1. Jackson Company produces chairs, which sell for $100 per unit. The chairs have variable costs of $40 per unit, and the company has $240,000 of fixed costs. If the company produces and sells 8,000 units, what is its break-even point in dollars?

   	a.	$400,000
   	b.	$4,000
   	c.	$2,400
   	d.	$160,000

1. The following information is provided for Steinberg Company: Sales Revenue: $250,000 Variable Manufacturing Costs: $85,000 Fixed Manufacturing Costs: $75,000 Variable Selling & General Costs: $30,000 Fixed Selling & General Costs: $25,000 Assuming production and sales of 1,000 units, what is the unit contribution margin?

   	a.	$900
   	b.	$350
   	c.	$600
   	d.	$135

What is this company's operating leverage rounding to the nearest hundredth?

	a.	4.00
	b.	0.24
	c.	4.20
	d.	0.25

1. The magnitude of operating leverage for DeBell's Ski Express is 3.2 when sales are $50,000. If sales increase by 20%, profits would be expected to increase by what percent?

   	a.	64%
   	b.	20%
   	c.	32%
   	d.	60%