Flitwick Company Charges a Selling Price of $50 Per Unit

Multiple Choice

Flitwick Company charges a selling price of $50 per unit for its single product, incurs variable costs of $30 per unit, and total fixed costs of $400,000.
What sales volume is necessary to earn a net income after tax of $72,000, assuming a tax rate of 25%?

A) 20,000
B) 22,700
C) 23,250
D) 24,800
E) None of the above