How many units must be sold to break-even?
Tim Taylor has written a self improvement book that has the following cost characteristics:
| Selling Price | $16.00 per book |
| Variable cost per unit: | |
| Production | $4.00 |
| Selling & administrative | 2.00 |
| Fixed costs: | |
| Production | $88,600 per year |
| Selling & administrative | 18,600 per year |
How many units must be sold to break-even?
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