Question
Listed below are the total costs incurred for Goalies Ball, Inc., a Soccer Ball manufacturer when 20,000 soccer balls are produced and sold during the
Listed below are the total costs incurred for Goalies Ball, Inc., a Soccer Ball manufacturer when 20,000 soccer balls are produced and sold during the month. The soccer balls sell for $35 each.
Variable Costs: | |
Shipping costs | $4,000 |
Logo imprinting on soccer balls | $1,000 |
Leather used in soccer balls | $25,000 |
Wages of assembly line workers | $70,000 |
Sales commissions | $6,000 |
Rubber used in soccer balls | $15,000 |
| |
Fixed Costs: | |
Administrative salaries main office | $60,000 |
Advertising | $11,200 |
Depreciation - Factory equipment | $7,800 |
Factory Manager salary | $18,000 |
Factory rent | $15,400 |
Main office rent | $8,400 |
Repairs and Maintenance Factory | $6,900 |
Repairs and Maintenance Main office | $3,700 |
The number of soccer balls the firm needs to sell in order to break even is (round up to the nearest whole unit):
Group of answer choices
4,539
4,012
1,634
4,462
1,664
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started