A-LevelAccountingAnalysis and communication of accounting information9706/12 · Oct/Nov 2013 · Q271 Mark

A business sells its product for $10 per unit and has variable costs of $6 per unit. The table shows the fixed costs for the year. $ factory rent 30 000 other fixed costs 70000 What is the break-even point?

A10000 units

B16667 units

C17500 units

D25000 units

✓ Correct answer

D: 25000 units

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Topic: Analysis and communication of accounting information, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, Oct/Nov 2013 Paper 1 Variant 2, question 27.

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