Sheridan Shacks makes portable garden sheds that sell for $1,800 each. Costs are as follows:

a. How many garden sheds must the company sell to break even?
b. If Sheridan Shacks€™ management wants to earn a pre-tax profit of $200,000, how many garden sheds must it sell?
c. If Sheridan Shacks€™ management wants to earn a pre-tax profit of $280,000, how many garden sheds must itsell?

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Per Unit Total Direct material Direct labor Variable production overhead Variable selling and administrative cost Fixed production overhead Fixed selling and administrative $800 90 60 50 $200,000 60,000