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6. If the average variable cost per unit is 3, the average selling price is 15 and fixed costs are 25,000, what is the break-even output in units and the break-even sales revenue?​

1 Answer

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Answer:

£15 - £3 = £12 (contribution per unit)

£25,000/ £12 = 2,083.33 (round up to 2,084 as the business doesn’t technically break even at 2,083)

Step-by-step explanation:

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User Dave Pacheco
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