Sulingo, Inc.calculated how many units it needed in order to earn net income totalling $67,750 for the month.What calculation did Sulingo perform?
A) [Variable costs + ($67,750 / 1 - tax rate) ] ÷ contribution margin ratio
B) [Fixed costs + ($67,750 / 1 + tax rate) ] ÷ contribution margin ratio
C) [Fixed costs + ($67,750 / 1 - tax rate) ] ÷ contribution margin per unit
D) [Variable costs + ($67,750 / tax rate) ] ÷ contribution margin per unit
Correct Answer:
Verified
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