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The following is Addison Corporations contribution format income statements for last month. The company has no beginning or ending inventories. A total of 10,000 units

The following is Addison Corporations contribution format income statements for last month.

The company has no beginning or ending inventories. A total of 10,000 units were produced and sold last month.

The following is last months contribution format income statement:

Sales (10,000 units). $ 1,200,000

Variable expenses .. 800,000

Contribution margin 400,000

Fixed expenses 240,000

Net operating income.. $ 160,000

How many units would the company have to sell to attain the target profit of $180,000 ?

A) 4,500

B) 10,500

C) 105,000

D) 6,000

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