Gall manufacturing sells a product for $50 per unit. the fixed costs are $840,000 and the variable costs are 60% of the selling price. as a result of new automated equipment, it is anticipated that fixed costs will increase by $20,000 and variable costs will be 50% of the selling price. the new break – even point in units is

a) 42,000
b) 41,600
c) 41,200
d) 33,600

The answer is B)41,600 units.

Explanation:

After the new- automated equipment's introduction, we have:

Fixed cost increased by $200,000, thus New fixed cost is: Current fixed cost + 200,000 = 840,000 + 200,000 = $1,040,000;

Variable cost is 50% of selling price, thus New variable cost is: Selling price x 50% =  50 x 50% = $25

Thus, New Contribution per one unit sold is: Selling price - Variable cost = 50 - 25 = $25.

New break-event points in units is: New Fixed cost/ New Contribution per one unit sold = 1,040,000/25 = 41,600 units.

Thus, the answer is B.

answer; i believe its (d) intrinsic;

odd consecutive integers are odd integers that follow each other. they have a difference of 2 between every two numbers. if n is an odd integer, then n, n+2, n+4 and n+6 will be odd consecutive integers. the first number in the pattern is always the variable on its own or in this case, "n". examples.