Hughes Inc. sells two different types of mobile phones. The following data is available for these two
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Question:
Hughes Inc. sells two different types of mobile phones. The following data is available for these two products.
The company has total annual fixed costs of $1,115,000 per year. The tax rate for the company is 30%
Requirements:
A. Calculate the number of total phones that Hughes Inc. needs to sell in order to break-even.
B. Calculate the number of each phone that Hughes Inc. needs to sell in order to break-even.
C. Calculate the number of each phone that Hughes Inc. needs to sell in order to earn a pre-tax net operating income of $200,000
D. Calculate the number of total phones that Hughes Inc. needs to sell in order to earn a after-tax net operating income of $175,000
Related Book For
Spreadsheet Modeling and Decision Analysis A Practical Introduction to Business Analytics
ISBN: 978-1285418681
7th edition
Authors: Cliff Ragsdale
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