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The target net income after taxes was $845 and the income tax rate is 35%. Let N be the number of units to be sold

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The target net income after taxes was $845 and the income tax rate is 35%. Let N be the number of units to be sold per unit with a variable cost of $1.20 per unit and total fixed costs of $18,300. $1.45N - $1.20N - $18,300 $845 1 -0.35 $0.25N -$18,300 = $1,300 $0.25N $1,300 + $18,300 $0.25 = $19,600 N = $19,600 / $0.25 = 78,400 units (a) How many units would the company have to sell to achieve a target after-tax net income of $845? Begin by selecting the formula components needed to solve for the missing unit amount, N. N N = 1 D] Choose from any drop-down list and then click Chart Anem Now suppose the target net income after taxes was 2,600. $1.45N - $1.20N - $18,300 2,600 1 -0.35 $0.25N - $18,300 = $4,000 $0.25N = $4,000+ $18,300 $0.25N = $22,300 N = $22,300 / $0.25 = 89,200 units Requirement 1. Suppose the income tax rate was 20% instead of 35%. How many units would the company have to sell to achieve a target after-tax net income of (a) $845 and (b) $1,300? Show your computations

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