Copper LLC sells cars and trucks. The unit sales for trucks were 100,000 and the contribution margin was $200,000. For cars the unit sales were 120,000 and the contribution margin was $240,000. If fixed costs are $160,000, how many trucks are needed to breakeven: a. 32,000 b. 34,000 c. 36,000 d. None of the above
Expert Answer
None of the above
Break Even Point = FIxed Costs / Contribution per unit
= 160000 / 2
= 80000
Answer is none of the above
Particulars | Truck | Car |
Contribution Margin | 200000 | 240000 |
Unit Sales | 100000 | 120000 |
Per Unit Contribution (A) | 2.00 | 2.00 |