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5 Company XYZ produces and sells headphones. The company has total fixed costs of $112,000. Each headphone sells for $70 per unit and has variable
5 Company XYZ produces and sells headphones. The company has total fixed costs of $112,000. Each headphone sells for $70 per unit and has variable costs of $50 per unit. Next year XYZ Company wishes to earn an operating income that equals 20% of fixed costs. How many units must be sold to achieve this target income level? (rounded to the nearest number) of Select one: O a. 933 O b. 1,120 O c. 4,480 O d. 5,600 O e. 6,720 27 XYZ company has sales of $260,000, a contribution margin ratio of 40%, and a target profit of $30,000. If 15,000 units were sold, what is the variable cost per unit? t of Select one: a. $6.94 b. none of the given answers. c. $10.40 d. $9.00 e. $8.67
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