Question
QUESTION 1 Use this information to answer Questions 1-4. Zebco Company has the following informaton for its fish finder product: Sales Price Per Unit $300.00
QUESTION 1 Use this information to answer Questions 1-4. Zebco Company has the following informaton for its fish finder product: Sales Price Per Unit $300.00 Less Variable Cost Per Unit $125.00 Fixed Cost $600,000.00 Tax Rate 40% Target Profit $90,000.00
a) Based on this information, the Contribution Margin per unit is ___________.
b) Based on the information in Question #1, the breakeven point in units is _
c) Based on the information in Question #1, if the company wants to make a target profit before taxes of $90,000, it would need to sell ______________ units.
d) Based on the information in Question #1, if the company wants to make an after tax profit of $90,000, it will have to sell ______________ units.
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