advertisements. Its tax rate is

40%

.\ Required\ How many cars must Westover Motors sell each month to break even?\ Westover Motors has a target monthly net income of

$66,000

. What is its target operating income? How many cars must be sold each month to reach the target monthly net income of

$66,000

?

Westover Motors is a small car dealership. On average it sells a car for $26,000, which it purchases from the manufacturer for $22,000. Each month, Westover Motors pays $69,000 in rent and utilites and $78,000 for salespeople's salaries. In addition to their salaries, salespeople are paid a commission of $500 for each car they sell. Westover Motors also spends $13,000 each month for local advertisements. Its tax rate is 40%. Required 1. How many cars must Westover Motors sell each month to break even? 2. Westover Motors has a target monthly net income of $66,000. What is its target operating income? How many cars must be sold each month to reach the target monthly net income of $66,000