A company is currently selling 10,000 units of product for $40 per unit. The unit contribution margin
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A company is currently selling 10,000 units of product for $40 per unit. The unit contribution margin is $27 and fixed costs are $174,000. The company believes that spending $30,000 on advertising will allow them to increase the selling price to $45. If these changes are made, how many units will have to be sold to earn $100,000 per year?
Related Book For
Introduction to Managerial Accounting
ISBN: 978-0078025792
7th edition
Authors: Peter Brewer, Ray Garrison, Eric Noreen
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