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Calihan Company has a product contribution margin of $50. The fixed costs are $300,000. Calihan Company desired a target profit before taxes of $150,000 per
Calihan Company has a product contribution margin of $50. The fixed costs are $300,000. Calihan Company desired a target profit before taxes of $150,000 per year.
1. How many units must be sold to achieve the target profit?
2. If fixed costs increase 5% how many units must be sold to achieve the target profit?
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