Cotton Company produces and sells socks. Variable costs are budgeted at $8 per pair, and fixed costs for the year are expected to total $150,000. The selling price is expected to be $10 per pair.

The sales units required for Cotton Company to make a before-tax profit (_B) of $10,000 are:

Multiple Choice

• 80,000 units.

• 79,000 units.

• 80,500 units.

• 75,000 units.

• 81,000 units.