Anonymous

# Find the number of units a firm needs to sell to break-even using the information below.?

Fixed Cost=$500

Variable Cost= $ 2/unit

Price of product=$6

answer choices are

125 units

250 units

0 units

83.33 units

### 4 Answers

Relevance

- olliverLv 610 months agoFavourite answer
Break even units = Fixed costs / (Selling price – Variable cost)

Break even units = 500 / (6 - 2) = 125 units

- Anonymous10 months ago
i refuse to do your homework for you.

- L. E. GantLv 710 months ago
Let x be the number of units sold

then

revenue = 6x

and costs = 500 + 2x

break-even when costs = revenue

so

6x = 500 + 2x

Solve for x

4x = 500

x = 125

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