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Cotton Company produces and sells socks. Variable costs are budgeted at $2 per pair, and fixed costs for the year are expected to total $140,000.

Cotton Company produces and sells socks. Variable costs are budgeted at $2 per pair, and fixed costs for the year are expected to total $140,000. The selling price is expected to be $4 per pair.

The sales units required for Cotton Company to make an after-tax profit (A) of $21,000, given an income tax rate of 50%, are:

Group of answer choices

81,000 units.

90,000 units.

99,161 units.

93,500 units.

91,000 units.

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