The following information is provided:

Break even point in units	5,000 units
Variable cost per unit	$175
Fixed costs	$1,625,000
Sales price per unit	?

The sales price per unit is??

ABD company is considering to adopt activity based costing. Which of the following statements regarding activity-based costing is false?

a.

ABC can be used to measure the performance of activities

b.

ABC can be used to analyse the profitability of customers.

c.

ABC is not an appropriate tool for analysing non-manufacturing costs.

d.

ABC evolved as a response to problems with conventional costing systems.

e.

ABC can be used to measure the cost of cost objects