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18. Given: Sales Variable costs Fixed costs $500,000 $100,000 $200,000 If the tax rate is 40%, sales in dollars necessary to generate an after-tax profit

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18. Given: Sales Variable costs Fixed costs $500,000 $100,000 $200,000 If the tax rate is 40%, sales in dollars necessary to generate an after-tax profit of $72,000 would be a. $1,360,000 c. $400,000 b. $800,000 d. $340,000 19. The Sun Company produces two types of eyeglasses: the X and Y models. Also given: Total fixed costs are $10,500. X Y CM/unit $10.00 $6.00 Sales mix .25 .75 What is the weighted average CM (contribution margin) per unit (using sales mix as the weights)? a. $2.50 c. $8.00 b. $4.50 d. $7.00 20. Refer to the data in question 19. What is the total break-even point in units? 1,500 c. 1,125 b. 1,250 d. 375 a. 4

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