Data concerning Hewell Enterprises Corporation's single product appear below: The unit sales to attain the company's monthly target profit of $14,000 is closest to:

Question

Data concerning Hewell Enterprises Corporation's single product appear below:  The unit sales to attain the company's monthly target profit of $14,000 is closest to:

Quizplus · Accepted Answer

Unit CM = Selling price per unit - Variable expenses per unit
= $200 per unit - $70 per unit
= $130 per unit
Unit sales to attain a target profit = (Target profit + Fixed expenses)F1F1F1S1F1F1F10 Unit CM
= ($14,000 + $559,000)F1F1F1S1F1F1F10 $130 per unit
= $573,000 F1F1F1S1F1F1F10 $130 per unit
= 4,408 units

Data Concerning Hewell Enterprises Corporation's Single Product Appear Below