Fairfield Company management has budgeted the following amounts for its next fiscal year: Selling price per unit Variable expenses per unit Total fixed expenses $40.00 per unit $25.00 per unit $832,500 Fairfield Company's goal for the month is to earn a target operating income of $285,000. How many units must be sold to achieve this goal? a. 33,300 units O b. 74,500 units c. 54,000 units d. 55,500 units
Fairfield Company management has budgeted the following amounts for its next fiscal year: Selling price per unit Variable expenses per unit Total fixed expenses $40.00 per unit $25.00 per unit $832,500 Fairfield Company's goal for the month is to earn a target operating income of $285,000. How many units must be sold to achieve this goal? a. 33,300 units O b. 74,500 units c. 54,000 units d. 55,500 units
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Fairfield Company management has budgeted the following amounts for its next fiscal year:
Selling price per unit
Variable expenses per unit
Total fixed expenses
$40.00 per unit
$25.00 per unit
$832,500
Fairfield Company's goal for the month is to earn a target operating income of
$285,000. How many units must be sold to achieve this goal?
а. 33,300 units
O b. 74,500 units
O c. 54,000 units
d. 55,500 units
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