What is break-even output level

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Reference no: EM131065711

HomeCraft makes wooden play sets. The company pays annual rent of $400,000 per year and pays admin salaries totaling $150,000 per yar. Each play set reequires $400 of wood, 10 hours of labor at $70 per hour, and variable overhead costs of $100. Fixed advertising expenses equal $100,000 per year. Each play set sells for $3,200. What is thee Homecraft break-even output level?

A-340 play sets

B- 258 play sets

C-325 play sets

D-297 play sets

Reference no: EM131065711

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