Question
Kathy Inc. has the following cost information: Variable costs are $5 per unit, and total fixed costs for the year are $60,000. The unit selling
Kathy Inc. has the following cost information: Variable costs are $5 per unit, and total fixed costs for the year are $60,000. The unit selling price is $7.
If the income tax rate is 50%, how many units should Kathy Co. sell to make an after-tax profit (A) of $22,000?
Multiple Choice
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54,500 units.
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51,000 units.
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52,000 units.
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42,000 units.
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60,161 units.
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Principles Of Financial Accounting (Chapters 1-17)
Authors: John Wild
25th Edition
1260780147, 9781260780147
