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Northern Lights Inc. is anticipating an improved business outlook in 2021. In a normal year, the company expects to sell 500,000 units of its outdoor
Northern Lights Inc. is anticipating an improved business outlook in 2021. In a normal year, the company expects to sell 500,000 units of its outdoor string lights at a price per unit of $50.00. The cost to produce each unit is $10.00. The company claims annual CCA deductions of $299,000 and $1,308,000 annually in fixed operating costs. How many units does the company need to sell in order to earn zero profit this year?
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