Reference: 08-11
Hurst Co -The Break-Even Point in Units Per Year Is?
A)38,000

Reference: 08-11
Hurst Co. manufactures and sells a single product. Price and cost data regarding this product are as follows: $$\begin{array} { | l | l | } \hline \text { Selling price } & \$ 40 \text { per unit } \\\hline \text { Variable manufacturing costs } & \$ 20 \text { per unit } \\\hline \text { Variable selling \& admin. expenses } & \$ 6 \text { per unit } \\\hline \text { Fixed manufacturing overhead } & \$ 208,000 \text { per year } \\\hline \text { Fixed selling \& admin. expenses } & \$ 324,000 \text { per year } \\\hline\end{array}$$
-The break-even point in units per year is?

A) 38,000.
B) 26,600.
C) 15,200.
D) 40,000.

Correct Answer:

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