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UESTION 4 Liliac Company sells a single product. The following information is given for current sales (2,000 units): Sales: $50,000 ($25 per unit) Variable expenses

UESTION 4

  1. Liliac Company sells a single product. The following information is given for current sales (2,000 units):

    Sales: $50,000 ($25 per unit)

    Variable expenses $34,000 ($17 per unit)

    Contribution margin $16,000

    Fixed expenses $12,000

    Profit $4,000

    If the company wants to make a $8,000 profit, its sales in terms of units have to be:

    2,500

    2,000

    1,500

    1,800

    5,250

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