Just A Company (JAC) 225 units at $100 per unit Variable cost $20 per unit Contribution margin = Fixed costs = $18,000 Operating income = JAC has a desired profit of $16,000 1.) Calculate the number of units they need to sell to accomplish this. 2.) Calculate the dollar amount of sales they need to accomplish this.

Just A Company (JAC) 225 units at $100 per unit Variable cost $20 per unit Contribution margin = Fixed costs = $18,000 Operating income = JAC has a desired profit of $16,000 1.) Calculate the number of units they need to sell to accomplish this. 2.) Calculate the dollar amount of sales they need to accomplish this.

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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Question

Just A Company (JAC)

225 units at $100 per unit

Variable cost $20 per unit

Contribution margin =

Fixed costs = $18,000

Operating income =

JAC has a desired profit of $16,000

1.) Calculate the number of units they need to sell to accomplish this.

2.) Calculate the dollar amount of sales they need to accomplish this.

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