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0 Recording View Options 11 Album Aatt Income Tax XYZ Manufacturing, which is subject to a 40% income tax rate, had the following operating data

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0 Recording View Options 11 Album Aatt Income Tax XYZ Manufacturing, which is subject to a 40% income tax rate, had the following operating data for the period just ended: Selling price per unit $60 Variable cost per unit 22 Fixed costs 504,000 Manufacturing plans to improve the quality of its sole product by 1) replacing a component that costs $3.50 with a higher-grade unit that costs $5.50 and 2) acquiring a $180,000 packing machine. XYZ will depreciate the machine over a 10-year life with no estimated salvage value by the straight-line method of depreciation. If the company wants to earn after-tax income of $172,800 in the upcoming period, it must sell A. 19,300 units B. 21,316 units C. 22,500 units D. 27,000 units Income Tax XYZ Manufacturing, which is subject to a 40% income tax rate, had the following operating data for the period just ended: Selling price per unit Variable cost per unit Fixed costs 504,000 $60 22 Manufacturing plans to improve the quality of its sole product by 1) replacing a component that costs $3.50 with a higher-grade unit that costs $5.50 and 2) acquiring a $180,000 packing machine. XYZ will depreciate the machine over a 10-year life with no estimated salvage value by the straight-line method of depreciation. If the company wants to earn after-tax income of $172,800 in the upcoming period, it must sell A. 19,300 units B. 21,316 units C. 22,500 units D. 27,000 units

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