Blanchard Company manufactures a single product that sells for $180 per unit and whose total variable costs are $126 per unit. The company's annual fixed costs are $842,400. Management targets an annual pretax income of $1,350,000. Assume that fixed costs remain at $842,400. (1) Compute the unit sales to earn the target income. Choose Numerator: Choose Denominator: Units to Achieve Target %3D Units to achieve target (2) Compute the dollar sales to earn the target income. Choose Numerator: Choose Denominator: Dollars to Achieve Target Dollars to achieve target
Blanchard Company manufactures a single product that sells for $180 per unit and whose total variable costs are $126 per unit. The company's annual fixed costs are $842,400. Management targets an annual pretax income of $1,350,000. Assume that fixed costs remain at $842,400. (1) Compute the unit sales to earn the target income. Choose Numerator: Choose Denominator: Units to Achieve Target %3D Units to achieve target (2) Compute the dollar sales to earn the target income. Choose Numerator: Choose Denominator: Dollars to Achieve Target Dollars to achieve target
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text:Blanchard Company manufactures a single product that sells for $180 per unit and whose total variable costs are $126 per unit. The
company's annual fixed costs are $842,400. Management targets an annual pretax income of $1,350,000. Assume that fixed costs
remain at $842,400.
(1) Compute the unit sales to earn the target income.
Choose Numerator:
Choose Denominator:
Units to Achieve Target
Units to achieve target
%3D
(2) Compute the dollar sales to earn the target income.
Choose Numerator:
Choose Denominator:
Dollars to Achieve Target
Dollars to achieve target
%3D
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