Number of phones sold to achieve the breakeven point


Berha's Cellular sells phones for $100. The unit variable cost per phone is $50 plus a selling commission of 10%. Fixed manufacturing costs total $1,250 per month, while fixed selling and administrative costs total $2,500. How many phones must be sold to achieve the breakeven point?

a) 31

b) 63

c) 21

d) 94

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Finance Basics: Number of phones sold to achieve the breakeven point
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