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FinnZ [79.3K]
3 years ago
5

If the sale price per unit is $75, variable expenses per unit are $40, target operating income is $22,000, and total fixed expen

ses are $16,500, how many units must be sold to reach the target operating income
Business
1 answer:
Novay_Z [31]3 years ago
3 0

Answer:

1,100 units

Explanation:

The computation of the units sales to achieve target operating income is shown below:

Unit sales is

= (Fixed expenses + target operating income) ÷ (contribution margin per unit)

= ($16,500 + $22,000) ÷ ($75 - $40)

= ($38,500) ÷ ($35)

= 1,100 units

We simply applied the above formula so that the correct value could come

And, the same is to be considered

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2 years ago
Accompanying a bank statement for Borden Company is a credit memo for $21,200 representing the principal ($20,000) and interest
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Answer:

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