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The following data are available for the Northern Division of Comet Products and the single product it makes: Unit selling price $60 Variable cost per unit $36 Annual fixed costs $840,000 Average operating assets $4,500,000 How many units must the Northern Division sell each year to have an ROI of 16%?

The following data are available for the Northern Division of Comet Products and the single product it makes: Unit selling price $60 Variable cost per unit $36 Annual fixed costs $840,000 Average operating assets $4,500,000 How many units must the Northern Division sell each year to have an ROI of 16%?

FINANCIAL ACCOUNTING
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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The following data are available for the Northern Division of Comet Products and the single product it makes: Unit selling price $60 Variable cost per unit $36 Annual fixed costs $840,000 Average operating assets $4,500,000 How many units must the Northern Division sell each year to have an ROI of 16%?
Transcribed Image Text:The following data are available for the Northern Division of Comet Products and the single product it makes: Unit selling price $60 Variable cost per unit $36 Annual fixed costs $840,000 Average operating assets $4,500,000 How many units must the Northern Division sell each year to have an ROI of 16%?
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