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Hunter & Sons sells a single model of meat smoker for use in the home. The smokers have the following price and cost characteristics.

 

Hunter & Sons sells a single model of meat smoker for use in the home. The smokers have the following price and cost characteristics. Sales price Variable costs Fixed costs 550 per smoker 330 per smoker 143,000 per month Hunter & Sons is subject to an income tax rate of 40 percent. Required: a. How many smokers must Hunter & Sons sell every month to break even? b. How many smokers must Hunter & Sons sell to earn a monthly operating profit of $39,600 after taxes? a. Break-even sales in units b. Number of units to be sold

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