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Question

Entrepreneurship Question on E-commerce and Digital Marketing

The initial cost of making a product is Rs. 1 lakh and variable cost per unit is Rs. 40. If its selling price is Rs. 80 per unit, what would be the break-even quantity?

A

2,500 Units

B

3,500 Units

C

5,000 Units

D

7,000 Units

Answer

2,500 Units

Explanation

Solution

The correct answer is option (A) :

2,500 Units