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Cost-Volume Profit Analysis Hailstorm Company sells a single product for $22 per unit. Variable costs are $14 per unit and fixed costs are $50,000 at

Cost-Volume Profit Analysis Hailstorm Company sells a single product for $22 per unit. Variable costs are $14 per unit and fixed costs are $50,000 at an operating level of 7,000 to 12,000 units.

a. What is Hailstorm Company's break-even point in units?

Answer

units

b. How many units must be sold to earn $12,000 before income tax?

Answer

units

c. How many units must be sold to earn $13,000 after income tax, assuming a 35% tax rate?

Answer

units

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