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Remus Company Sells a Single Product for $15 Per Unit

Question 22

Multiple Choice

Remus Company sells a single product for $15 per unit. Variable costs are $5 per unit and fixed costs are $75,000.
How many units must Remus sell to earn $21,000 after income tax, assuming a 20% tax rate?


A) 7,000
B) 10,125
C) 10,500
D) 21,000
E) None of the above

Correct Answer:

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