Corp sells tables and currently has sales of $25,000 Fixed costs of $2,000 Selling price of $20/unit

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Corp sells tables and currently has sales of $25,000

Fixed costs of $2,000

Selling price of $20/unit

CM ratio (%) of 20%.

Also assume a 40% tax rate.

Corp's net income (after taxes) will be 0 (zero) if sales (in units) decrease by what percentage?

Related Book For answer-question

Fundamentals of Investing

ISBN: 978-0133075359

12th edition

Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk

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Posted Date: May 24, 2023 02:11 AM

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Corp sells tables and currently has sales of $25,000 Fixed costs of $2,000 Selling price of $20/unit

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determine the percentage decrease in sales in units needed for the net income to be zero we need to ... View the full answer

Fundamentals of Investing

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