Help with 2.2.

Question 2: You are the sales manager of your company. Your company is investigating the possibility to launch a new product, a leather handbag, into the market. However, you need to convince management that the volumes and the selling price are achievable [8 marks] Your cost accountant provided you with the follownng nformation Descriptlon Cost Estimated seling price per handbag incremental Fixed Cost R1,750 R375,000 You also gathered the following information: Selling pnce is calculated as 30% mark-up on variable cost, Tax rate is 28% Company policy is that any new product launched must contribute an after-tax profit of 5% of the total sales value of the product. . ITURN OVERI MBA4807 OCTOBERINOVEMBER 2018 Required 2 1 Calculate the number of break-even units 2.2 Calculate the number of units to be sold to achieve the company's policy regarding launching new units