Select one:
A. 25,000 units
B. 50,000 units
C. 100,000 units
D. 15,000 units
Homework Answers
Contribution per unit= Selling price per unit - Variable cost per unit
Selling price per unit=£1000-350-200-50/20000units =£0.05per unit
Breakeven point in volume = Fixed cost per unit/Contribution per unit
Contribution after giving a commission of 20% on sale shall be: Contibution earlier-commission on selling price
=£1000-350-200-50/20000 units = £0.02-(£0.05*20%)
=£0.02
Breakeven point in volume = Fixed cost (i.e.,£120+180+200)/Contribution per unit(as computed above)
=£500/£0.01= 50,000 units
Add Answer to:
Select one:
A. 25,000 units
B. 50,000 units
C. 100,000 units
D. 15,000 units
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