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Help Seve Echt Assume that a company manufactures numerous products, one of which is called Product A. The company has provided the following da regarding
Help Seve Echt Assume that a company manufactures numerous products, one of which is called Product A. The company has provided the following da regarding this product 5 120,000 $ 20.00 Unit sales ) Selling price per unit Variable cost per unit Contribution margin per unit (b) 12.00 $ 8.00 Total contribution margin (a) * (b) Traceable fixed expenses Net operating ineon $960,000 940,000 $ 20,000 The company is considering increasing the price of Product A by 10%, from $20.00 to $22.00. The company estimates that this price hike will decrease unt sales by 15%, from 120.000 units to 102.000 unts. How many units would the company need to sell at a price of $22.00 to earn the exact same profit that it currently earns at a price of $20.00? Multiple Choice o 97,000 96,000 95.000 162.000
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