Sulingo, Inc

Multiple Choice

Sulingo, Inc.calculated how many units it needed in order to earn net income totalling $67,750 for the month.What calculation did Sulingo perform?

A) [Variable costs + ($67,750 / 1 - tax rate) ] ÷ contribution margin ratio
B) [Fixed costs + ($67,750 / 1 + tax rate) ] ÷ contribution margin ratio
C) [Fixed costs + ($67,750 / 1 - tax rate) ] ÷ contribution margin per unit
D) [Variable costs + ($67,750 / tax rate) ] ÷ contribution margin per unit