The cost for material is $2.50.

The cost of labor is $4.

The fixed cost, regardless of sales volume, is $5000.

If the cost to a wholesaler is $7.40 per unit, the least number of units that must be sold by the company to realize a profit is 677 unit

Penjelasan dengan langkah-langkah:

Given:

• The cost for material is $2.50.

• The cost of labor is $4.

• The fixed cost, regardless of sales volume, is $5000.
• The cost to a wholesaler is $7.40 per unit

To Find:

The least number of units that must be sold by the company to realize a profit is ...?

Answer:

Total Cost = The cost for material + The cost of labor + The fixed cost

Total Cost = $2.50 + $4 + $5000

Total Cost = $5006,5

The cost to a wholesaler =  

The least number of units = Total Cost / The cost to a wholesaler

The least number of units = $5006,5 / $7.40 = 676,5 = 677 unit.

The least number of units = 677 unit

So, the least number of units that must be sold by the company to realize a profit is 677 unit.

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