Exercise 5-7 Compute the Level of Sales Required to Attain a Target Profit [LO5-6]

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Lin Corporation has a single product whose selling price is $134 and whose variable expense is $67 per unit. The companys monthly fixed expense is $32,300.

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Section BreakExercise 5-7 Compute the Level of Sales Required to Attain a Target Profit [LO5-6]

2.

value: 2.00 points

Required information

Exercise 5-7 Part 1

Required:
1.	Using the equation method, determine for the unit sales that are required to earn a target profit of $7,900. (Round up your answer to the nearest whole number.)

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Hint #1

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3.

value: 2.00 points

Required information

Exercise 5-7 Part 2

2.	Using the formula method, determine for the unit sales that are required to earn a target profit of $8,600. (Round up your answer to the nearest whole number.)