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Locus Company has total fixed costs of $ 1 1 2 , 0 0 0 . Its product sells for $ 3 5 per unit

Locus Company has total fixed costs of $112,000. Its product sells for $35 per unit and variable costs amount to $25 per unit. Next year Locus Company wishes to earn a pretax income that equals 10% of fixed costs. How many units must be sold to achieve this target income level?

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