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Fox Harbour Limited produces and sells a single product; its selling price is $244 and its variable cost is $183 per unit. The companys monthly
Fox Harbour Limited produces and sells a single product; its selling price is $244 and its variable cost is $183 per unit. The companys monthly fixed expense is $281,950.
Required:
1. Solve for the unit sales that are required to earn a target profit before taxes of $20,000.
2. Solve for the dollar sales that are required to earn a target profit before taxes of $60,000.
3. Calculate the number of units that need to be sold to earn an after-tax income of $143,100, assuming a tax rate of 25%.
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