Question: ABC, Inc. produces a product that has a variable cost of $2.50 per unit. The company's fixed costs are $30,000. The product is sold for

ABC, Inc. produces a product that has a variable cost of $2.50 per unit. The company's fixed costs are $30,000. The product is sold for $5.00 per unit and the company desires to earn a target profit of $10,000. What is the amount of sales that will be necessary to earn the desired profit?

	a.	$60,000
	b.	$100,000
	c.	$200,000
	d.	$80,000

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