Question

A company sells its product at Rs. 9 per unit. The variable cost of the product is Rs.5 per unit while the fixed overhead absorption rate is Rs.1.5 per unit. What will be the break even point if the budgeted units are 1,00,000 and the fixed overhead expenditure variance is 0?

A 40,000 units
B 25,000 units
C 30,000 units
D 37,500 units
E 13500 units
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