Mia Enterprises sells a product for $90 per unit. The variable cost is $40 per unit, while fixed costs are $75,000. Determine the
(a) break-even point in sales units and
(b) break-even point in sales units if the selling price increased to $100 per unit. If required, round answer to nearest whole number.

Break-even Point

The level of sales at which total revenues equal total expenses, resulting in no net profit or loss.

Variable Cost

Expenses that change in proportion with the level of activity or production volume, such as materials costs or sales commissions.

Fixed Costs

Expenses that do not change with the level of goods or services produced by a business over a certain period, such as rent, salaries, and loan payments.