Data concerning Celenza Corporation's single product appear below:
-Assume the company's monthly target profit is $25,000.The unit sales to attain that target profit are closest to:

Question

Data concerning Celenza Corporation's single product appear below: 
-Assume the company's monthly target profit is $25,000.The unit sales to attain that target profit are closest to:

Quizplus · Accepted Answer

Unit CM = Selling price per unit - Variable expenses per unit
= $230.00 per unit - $59.80 per unit = $170.20 per unit
Unit sales to attain a target profit = (Target profit + Fixed expenses)F1F1F1S1F1F1F10 Unit CM
= ($25,000 + $697,820)F1F1F1S1F1F1F10 $170.20 per unit
=$722,820 F1F1F1S1F1F1F10 $170.20 per unit = 4,247 units

Data Concerning Celenza Corporation's Single Product Appear Below