In Keegan Corporation's most recent fiscal year, the company reported pretax earnings of $215,000. Fixed costs totaled $325,800, the unit selling price of the firm's only product was $60, and the variable costs per unit were 40% of the selling price. Based on this information, the firm's break-even point in units was:
A. 9,050 units.
B. 13,575 units.
C. 15,023 units.
D. 13,750 units.
E. 8,750 units.
Answer: A
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