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A watch manufacturer producing and selling affordable watches has the following sales and cost information: Selling price per unit $80 Variable cost per unit $32

 

A watch manufacturer producing and selling affordable watches has the following sales and cost information:

Selling price per unit $80

Variable cost per unit $32

Fixed cost is estimated to be $108,000 per quarter.

Desired quarterly income is estimated at $96,000

Required: Calculate the number of watches to be sold each quarter to earn the desired income. [4 points]

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