Howe Hinges Co. manufactures and sells a single product. This product has the following operational data: Unit sales price $30 Variable manufacturing cost per unit $17 Fixed manufacturing cost $72,000 Variable selling cost per unit $1 Fixed selling cost $27,000 40% Tax rate What amount of total revenue would be needed to meet an after-tax target profit of $48,000?
Howe Hinges Co. manufactures and sells a single product. This product has the following operational data: Unit sales price $30 Variable manufacturing cost per unit $17 Fixed manufacturing cost $72,000 Variable selling cost per unit $1 Fixed selling cost $27,000 40% Tax rate What amount of total revenue would be needed to meet an after-tax target profit of $48,000?
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter10: Cost Analysis For Management Decision Making
Section: Chapter Questions
Problem 13E
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Financial Accounting Question
Transcribed Image Text:Howe Hinges Co. manufactures and sells a single
product. This product has the following operational
data:
Unit sales price
$30
Variable manufacturing cost per unit $17
Fixed manufacturing cost
$72,000
Variable selling cost per unit
$1
Fixed selling cost
$27,000
40%
Tax rate
What amount of total revenue would be needed to meet
an after-tax target profit of $48,000?
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