30)

Nonesuch Company sells only one product at a regular price of $7.50 per unit. Variable expenses are 60 percent of sales and fixed expenses are $30,000. Management has decided to decrease the selling price to $6.00 in hopes of increasing its volume of sales.

What sales dollar level is needed to obtain a before-tax profit of $60,000 when the selling price is $6.00 per unit?

(1.67pts)

Question 30 - Nonesuch Company sells only one product at a regular price of $7.50 per unit. Variable expenses are 60 percent of sales and fixed expenses are $30,000. Management has decided to decrease the selling price to $6.00 in hopes of increasing its volume of sales.What sales dollar level is needed to obtain a before-tax profit of $60,000 when the selling price is $6.00 per unit?

Select $90,000 as your answer	$90,000
Select $120,000 as your answer	$120,000
Select $72,000 as your answer	$72,000
Select $360,000 as your answer	$360,000