Question: Zero, Inc. produces a product that has a variable cost of $7.00 per unit. The company's fixed costs are $40,000. The product sells for $12.00

Zero, Inc. produces a product that has a variable cost of $7.00 per unit. The company's fixed costs are $40,000. The product sells for $12.00 a unit and the company desires to earn a $20,000 profit. What is the volume of sales in units required to achieve the target profit?

a.

12,000

b.

2,000

c.

8,500

d.

8,000

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