Answer:
After one unit is sold, Becky will break-even.
Step-by-step explanation:
Giving the following information:
Fixed costs= $1
Unitary variable cost= $21
Selling price= $22
<u>The break-even point is the number of units required to cover the fixed costs after deducting from the selling price the variable components. At this point, net income is zero</u>.
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 1 / (22 - 21)
Break-even point in units= 1
After one unit is sold, Becky will break-even.
Answer:
5
Step-by-step explanation:
Rental = $40
Catering = $12 per person
Budget = $100
Amount left after paying for the rental
= 100 - 40
= $60
Maximum number of guests
= 60 ÷ 12
= 5
