Question: 7. A company makes a product which has a variable production cost of 9,00 and a variable sales cost of 3,00 per unit. Fixed costs

 7. A company makes a product which has a variable production

7. A company makes a product which has a variable production cost of 9,00 and a variable sales cost of 3,00 per unit. Fixed costs are 60.000 per annum, the sales price per unit is 22,50, and the current volume of output and sales is 7.500 units. The company is considering whether to have an improved machine for production. Annual costs would increase 19.000 and it is expected that the variable cost of production would fall to 8,00 per unit. What is the minimum number of units that must be produced and sold to achieve the same profit as is currently earned, if the machine is acquired

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