The following information pertains to the Flying Fig Corporation: Total Units for information given 3000 Fixed Cost per Unit $200 Selling Price per Unit $500 Variable Costs per Unit $175 Target Operating Income $300,000 What is the breakeven in units?
A) 1846 units
B) 2769 units
C) 3429 units
D) 923 units
Answer: A) 1846 units
3000 x $200 = $600,000 Total Fixed Costs
$600,000 / ($500 - $175) = 1846 units
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