ABC Ltd. makes a television table that sells for $60 per unit. It has variable costs of $20 per unit and incurs fixed costs of $110,000 per period.

Determine the sales value that the firm will have to reach if it is to make $20,000 profit per period.

a. 195,000

b. 6500

c. 130,000

d. 3250

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ABC Ltd. makes a television table that sells for $60 per unit. It has variable costs of $20 per unit and incurs fixed costs of $110,000 per period.

Identify the parameters of the problem

a. S= 20 V= 110,000 F= 60

b. S= 60 V= 110,000 F= 20

c. S= 20 V= 60 F= 110,000

d. S= 60, V= 20, F= 110,000