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Hairdecor Company sells decorative headbands to retailers for $ 7 . 5 0 . The variable cost of goods sold per headband is $ 1
Hairdecor Company sells decorative headbands to retailers for $ The variable cost of goods sold per headband is $ with a selling commission of percent. Fixed manufacturing costs total $ per month, while monthly fixed selling and administrative costs total $ The income tax rate for Hairdecor Company is percent. Use decimal places in calculations.
Required:
a What is the monthly breakeven point in headbands?
b What are target sales in headbands to generate a monthly before tax income of $
c What are target sales in headbands to generate an after tax income of $
d What is net income assuming Hairdecor Company sells total headbands?
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