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Kosco Corporation produces a single product. The company's absorption costing income statement for March follows: Kosco Corporation Income Statement For the Month Ended March 31

Kosco Corporation produces a single product. The company's absorption costing income statement for March follows:

Kosco Corporation Income Statement For the Month Ended March 31

Sales (2,400 units) $48,000
Cost of goods sold 24,000
Gross margin 24,000
Selling and administrative expenses:
Fixed $7,200
Variable 9,600 16,800
Net operating income $7,200

During March, the company's variable production costs were $8 per unit and its fixed manufacturing overhead totaled $5,000. The break-even point in units for the month under variable costing would be:

600 units

900 units

1,017 units

1,525 units

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