Jamie Quinn, a sole proprietor, has the following projected figures for next year: $\begin{array} { l }
\text { Selling price per unit}&\$150.00\
\text { Contribution margin per unit}&\$45.00\
\text {Total fixed costs }&\$630,000\
\end{array}$
How many units must be sold to obtain a target before-tax profit of $270,000?
A)6,000 units
B)20,000 units
C)8,572 units
D)14,000 units

Question

Jamie Quinn, a sole proprietor, has the following projected figures for next year: $\begin{array} { l  }
 \text { Selling price per unit}&\$150.00\
 \text { Contribution margin per unit}&\$45.00\
 \text {Total fixed costs }&\$630,000\
\end{array}$
 How many units must be sold to obtain a target before-tax profit of $270,000?
A)6,000 units
B)20,000 units
C)8,572 units
D)14,000 units

Quizplus · Accepted Answer

The Answer of Jamie Quinn, a sole proprietor, has the following projected figures for next year: $\begin{array} { l  }
 \text { Selling price per unit}&\$150.00\
 \text { Contribution margin per unit}&\$45.00\
 \text {Total fixed costs }&\$630,000\
\end{array}$
 How many units must be sold to obtain a target before-tax profit of $270,000?
A)6,000 units
B)20,000 units
C)8,572 units
D)14,000 units

Jamie Quinn, a Sole Proprietor, Has the Following Projected Figures