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The fixed cost of a production system is $15,000, and the variable cost per unit product is $17. The product has a revenue of $28
The fixed cost of a production system is $15,000, and the variable cost per unit product is $17. The product has a revenue of $28 per unit. Calculate the breakeven quantity and determine if the system will experience a profit or loss when 1,500 units are produced.
1,365 units and a profit of $1,500 | ||
1,819 units and a loss of $3,500 | ||
1,745 units and a loss of $1,500 | ||
1,475 units and a profit of $3,500 |
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