Fixed cost falls from Rs 40,000 to Rs 32,000, contribution Rs 8 a unit. New break-even?
A4,000 units
B3,200 units
C5,000 units
D4,500 units
Answer & Solution
Correct answer: A. 4,000 units
New break-even is 32,000 divided by 8, which is 4,000 units, down from 5,000.
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