Cost Accounting

A&T Company makes a product that sells for SAR 300 per unit. The other details related to this product are as follows:

Variable costs = SAR 60 per unit

Fixed costs = SAR 144,000

You are required to calculate:

1. Units needed to reach target pretax profit of SAR 120,000.
2. Sales SAR needed to reach the target pretax profit of SAR 120,000.