Question

A company sells bicycles for $100 each. It costs the company $75 to make each bicycle. The company has overhead costs of $25,000. What is the break point for the company?

Question 30 options:

	$100,000
	cannot be calculated with information provided
	1,000 bicycles
	25
	25,000 bicycles

Question 31 (2 points)

A company has COGS expense of $1000, CEO expense of $5000, R&D Expense of $10,000 and Revenue of $16,000. How much is the company's total OPEX expense?

Question 31 options:

	$16,000
	$1,000
	0
	$5000
	$15,000

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Answer 1

- Solution : Question 1: What is the break point for the company? Fixed Expenses Break Pant Contribution Margin per Unit $25,000 ($100(-)$75) Break Point 1000 units Answers Optim 1 a 1000 bicydessbeck Parut for company, Mote & l. Querhead Casts of $25,000 is assumed to be Fixed lat 2. Cat to make each bicycle $75 is considered as variable cost. Question 2 How much is the company's total OPEX expense? CEO expense $ 5000 R&D expense $10.000 Total OPEX expense $ 15,000 Ausurer: Optim 5: $15,000/ The company's total OPEX expense