1. If the company want to achieve target net income $800,000 and the tax rate is 30%, calculate how many units to be sold to achieve those targets?2. The owner estimates that if he can spend an additional $75,000 towards sales promotion,sales in unit may increase by 30%. What should Mr. Budi’ decision be? Youthinc manufactures and sells a face wash just about one year ago. The monthly income statementfor June 2021 is as follow: (based on 250,000 unit sold)RevenueVariable Costs:ManufacturingMarketingTotal Variable CostContribution MarginFixed Costs:ManufacturingMarketingTotal Fixed Cost$2,250,000$750,000105,000$855,000$1,395,000$200,000$260,000$460,000$935,000Operating Income

We know that under marginal costing Profit = Sales Revenue - Total Variable cost - Total Fixed…

1. If the company want to achieve target net income $800,000 and the tax rate is 30%, calculate how many units to be sold to achieve those targets? 2. The owner estimates that if he can spend an additional $75,000 towards sales promotion,sales in unit may increase by 30%. What should Mr. Budi’ decision be?

1. If the company want to achieve target net income $800,000 and the tax rate is 30%, calculate how many units to be sold to achieve those targets? 2. The owner estimates that if he can spend an additional $75,000 towards sales promotion,sales in unit may increase by 30%. What should Mr. Budi’ decision be?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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