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Cost Accounting for Nova Co.

20. The following information pertains to Nova Company's Cost-Volume-Profit relationships:

Breakeven Point in Units Sold 1,000
Variable Expenses per Unit $500
Total Fixed Costs $150,000

How much will be contributed to Net Operating Income by the 1,001st unit sold?
A) $650.
B) $500.
C) $150.
D) $ 0.

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Answer: C

Breakeven point in Units = Total Fixed ...

Solution Summary

This solution is comprised of a detailed calculation to answer how much will be contributed to Net Operating Income by the 1,001st unit sold.

$2.19