Homework Answers
Correct answer--------(A) Decrease by $ 1400
Working
| Current | Change | Breakeven unit change | ||
| A | Sale Price per unit | $ 21.00 | $ 21.00 | |
| B | Variable Cost per Unit (12+3) | $ 20.00 | $ 20.00 | |
| C=A x B | Unit Contribution | $ 1.00 | $ 1.00 | |
| D | Fixed Cost | $ 54,800.00 | $ 53,400.00 | |
| E | Breakeven units | 54,800 | 53,400 | 1,400 |
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