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Page Break- Walters Corporation sells radios for $50 per unit. The fixed costs are $525,000 and the variable costs are 60% of
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Answer #1

Correct Answer: option B: 26000.00

Working:

A

Selling price

$            50.00

B

Variable price (50% of selling price)

$            25.00

C=A-B

Contribution margin

$            25.00

D

Fixed cost( 525000+125000)

$ 650,000.00

E =D/C

Break-even point in units

26000.00

End of answer.

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