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You are given ABS information in 2021. Revenue was $350,000, total variable cost was $150,000. The company realized a negative result of $30,000. The selling

You are given ABS information in 2021. Revenue was $350,000, total variable cost was $150,000. The company realized a negative result of $30,000. The selling price per unit was $35.

In 2022, the company expects a fixed cost increase of 10% and no change in the unit variable cost margin. How high should the sales volume be in 2022 to achieve operating profit equal to 2% of 2021 revenue.

a) 10,700 units b) 9700 units c) No answer fits d) 13,000 units

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