Assume Total Fixed Costs of $160,000, Variable Costs Per Unit

Multiple Choice

Assume total fixed costs of $160,000, variable costs per unit of $6, and contribution margin per unit of $4.How many units must be sold to meet a target net income of $50,000, assuming a tax rate of 20%?

A) 55,625
B) 52,500
C) 50,000 d, 35,000