contestada

Northern Pacific Fixtures Corporation sells a single product for $28 per unit. If variable expenses are 65% of sales and fixed expenses total $9,800, the break-even point is: (Round your intermediate calculations to 2 decimal places.) Multiple Choice $15,077 $18,200 $9,800 $28,000

Respuesta :

Answer:

the break even point is $28,000.00

Explanation:

The computation of the break even point is given below:

= Total fixed expenses ÷ contribution margin ratio

= $9,800 ÷ (1 - 0.65)

= $9,800 ÷ 0.35

= $28,000.00

Hence, the break even point is $28,000.00

We simply applied the above formula