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A Product Sells for $125,variable Costs Are $80,and Fixed Costs

Question 12

Multiple Choice

A product sells for $125,variable costs are $80,and fixed costs are $45,000.If the selling price can be increased by 20% with a similar increase in variable costs,how many fewer units would have to be sold to earn $300,000? (Round the answer to the nearest unit. )


A) 5,595 units
B) 7,667 units
C) 1,278 units
D) 6,389 units

Correct Answer:

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