Question
X Company sells one product. The following price and cost information is for 2020: Selling price $16.00 Variable manufacturing costs per unit 8.50 Variable selling
X Company sells one product. The following price and cost information is for 2020: Selling price $16.00 Variable manufacturing costs per unit 8.50 Variable selling and administrative costs per unit 1.70 Fixed manufacturing costs 12,200 Fixed selling and administrative costs 13,030 X Company is uncertain what variable manufacturing costs per unit will be in 2021. If unit sales in 2021 are expected to be 5,950, and X Company wants to break even, what must variable manufacturing costs per unit be? A: $10.06 B: $11.77 C: $13.77 D: $16.11 E: $18.85 F: $22.06
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