Pulaski plumbing supply is planning to bring a new type of valve to market and is conducting a break-even analysis. for this analysis they are assuming a selling price of $2.50 per valve. the total fixed cost associated with producing the valve is $10,000. the variable cost to produce each valve is $2.10. in this analysis, what is the break-even point (bep) for the valve? multiple choice a) 2,174 units b) 25,000 units c) 50,000 units d) 4,000 units e) 4,762 units.

Activity-based costing (abc) is not truly a cost collection mechanism as much as it is an inventory valuation method. the main purpose for implementing an activity-based cost system is to try to overcome some of the cost distortions that occur in traditional costing from product differences when there are variations in size and complexity. however, one of the disadvantages of utilizing abc is that the additional information gathering necessary to implement costing with that level of detail might be beyond the reach of some companies with resource or financial constraints. with this in mind, what kinds of industries or companies do you think would benefit most from using activity-based costing and why? in designing or modifying an accounting system to capture appropriate costs for abc, what considerations do you think would need to be made?