Widget Co. has the following variable costs per unit for the widgets that it sells for 10 dolars each: Direct Materials of 2 dollars, Direct Labor of 5 dollars, and Manufaturing Overhead of 1 dollar. It also has fixed monthly costs of 2,000 dollars. How many widgets does the company have to sell to earn a profit of 5,000 dollars for the month?

Select the correct answer

3,500

7,000

1,000

2,500