Selling price per Custom wedding cake	$800
Variable cost per Custom wedding cake	$425
Total fixed costs	$72,500

Using the above information, calculate the following items, being sure to show all calculations and clearly labeling your answers:

1. How many Custom wedding cakes need to be sold in order to realize a target profit

of $50,000? Show all calculations and clearly label your answer.

2. What dollar sales will this business need to generate in order to realize a target profit of $50,000?

Show all calculations and clearly label your answer.