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5. VAN company makes and sells handmade violin. Each violin sells for $1,398, and the fixed monthly operating costs are as follows: Rent and utilities
5. VAN company makes and sells handmade violin. Each violin sells for $1,398, and the fixed monthly operating costs are as follows: Rent and utilities $2,840 Wages and salaries $50,000 Miscellaneous expenses $9,000 A thorough analysis of the company's financials, the financial manager realized that for every dollar of sales, $0.60 went to cover the fixed costs. VAN's directors want to make $32,500 of Net profit each month. How many violins should the company sell to reach this target? (note that the Tax rate is 35%)
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