Becker Company Ltd.

Partial Income Statement

Most Recent Year

Sales$ 1,190,000

Cost of goods sold476,000

Gross margin$714,000

Less operating expenses:

Fixed$39,000

Variable 357,000396,000

Operating income$318,000

What would the Becker Company sales have to be in order for the company to have an operating income of $500,000?

A) $1,796,667

B) $2,001,988

C) $1,372,000

D) $1,411,000

E) $1,567,824

5. How many units would have to be sold to yield a target operating income of $22,000, assuming variable costs are $15 per unit, total fixed costs are $2,000, and the unit selling price is $20?

A) 4,800 units

B) 4,400 units

C) 4,000 units

D) 3,600 units

E) 1,600 units

6. What is the break-even point in units for a product line, assuming a unit selling price of $200, total fixed costs are $4,000, unit variable costs are $40, and target operating income is $16,000,000?

A) 25 units

B) 75 units

C) 100 units

D) 125 units

E) 100,000 units

pls includes explanation how to get the answer.thanks