Answer:
Results are below.
Explanation:
Giving the following information:
Selling price= $140
Unitary variable cost= $70
Fixed cost= $31,600
<u>To calculate the number of units to be sold to obtain a profit of $8,300, we need to use the following formula:</u>
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Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Break-even point in units= (31,600 + 8,300) / (140 - 70)
Break-even point in units= 570
<u>Now, the dollar sales for $10,000 profit:</u>
Break-even point (dollars)= (fixed costs + desired profit) / contribution margin ratio
Break-even point (dollars)= (31,600 + 10,000) / (70/140)
Break-even point (dollars)= $83,200
