Johnson and Kaur Corporation sell a particular clock for $20 a unit. The variable cost is $5 each and Fixed Costs are $15,000.

a) Using the equation method, complete the following formula using words. (i.e. Fixed Costs, Selling Price, Profit, Variable Costs

Profit = q -_____ q -______

b) Using the equation formula that you did in a), plug in the numbers usingmthe information that Johnson and Kaur Corporation gave you to figure out the number of units that need to be sold in order to Breakeven.

______=_______q -_______ q - _______

Therefore the number of units that must be sold to Breakeven are ______

c) Using the equation formula that you did in a), plug in the numbers using the information that Johnson and Kaur Corporation gave you to figure out the number of units that need to be sold in order to make a profit of $65,000.

Answer: Johnson and Kaur Corporation needs to sell ______