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3 March, 08:31

Data concerning cutshall enterprises corporation's single product appear below:selling price per unit $ 205.00variable expense per unit $ 96.00fixed expense per month $ 443,440the unit sales to attain the company's monthly target profit of $28,000 is closest to

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  1. 3 March, 08:36
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    The unit sales to attain the company's monthly target of $28,000 is closest to 4325 units.

    We follow these steps to derive the answer:

    Let the number of units to be sold be 'x'.

    Since

    Profit = Total Revenues - (Variable Cost + Fixed Cost), we get

    $28,000 = $205x - ($96x+$443440)

    $28,000 = $109x - 443,440

    $471440 = $109x

    x = 4325.137615 ($471440/$109).
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