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Thompson Company sells its single product for $125 per unit. During 2024, Thompson had the following costs: Variable costs: Direct materials .............. $32.70 per unit
Thompson Company sells its single product for $125 per unit. During 2024, Thompson had the following costs: Variable costs: Direct materials .............. $32.70 per unit Direct labor .................. $28.40 per unit Selling costs ................. $21.90 per unit Fixed costs: Advertising ................... $ 7,600 Rent .......................... $10,900 Depreciation .................. $ 2,500 Calculate the number of units of this product that Thompson Company needed to sell in 2024 in order to earn a net income equal to 24% of sales.
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