Target Profit

Outdoors Company sells a product for $220 per unit. The variable cost is $95 per unit, and fixed costs are $337,500.

Determine (a) the break-even point in sales units and (b) the break-even point in sales units required for the company to achieve a target profit of $84,375.

a. Break-even point in sales units		units
b. Break-even point in sales units required for the company to achieve a target profit of $84,375		units