Answered: A company has fixed costs of $320,000…

A company has fixed costs of $320,000 and a contribution margin per unit of $15. If the company wants to earn income of $40,000, how many units must be sold?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

A company has fixed costs of $320,000 and a contribution margin per unit of $15. If the company wants to earn income of $40,000, how many units must be sold?

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