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As the leas cost engineer for the XYZ Services Company, you have been requested to...

As the leas cost engineer for the XYZ Services Company, you have been requested to provide pertinent for an equipment rental decision. The unit price of the food stuffs varies, but an average unit selling process has been determined to be $0.50 cents and the average unit acquisition cost is $0.40 cents.

The following revenue and expense relationships are predicted:

If the fixed rent remains unchanged, and XYZ pays S0.01 per unit as additional rent, the monthly breakeven point in numbers of units becomes:

A.

48,500 units

B.

66,667 units

C.

52,500 units

D.

33,333 units

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