These sweatshirts would have to be ordered from the manufacturer six weeks in advance, and they could not be returned because of the unique printing required. The sweatshirts would cost Hooper $18.00 each with a minimum order of 232 sweatshirts. Any additional sweatshirts would have to be ordered in increments of 232. Since Hooper's plan would not require any additional facilities, the only costs associated with the project would be the costs of the sweatshirts and the costs of the sales commissions. The selling price of the sweatshirts would be $36.00 each. Hooper would pay the students a commission of $5.00 for each shirt sold.
These sweatshirts would have to be ordered from the manufacturer six weeks in advance, and they could not be returned because of the unique printing required. The sweatshirts would cost Hooper $18.00 each with a minimum order of 232 sweatshirts. Any additional sweatshirts would have to be ordered in increments of 232. Since Hooper's plan would not require any additional facilities, the only costs associated with the project would be the costs of the sweatshirts and the costs of the sales commissions. The selling price of the sweatshirts would be $36.00 each. Hooper would pay the students a commission of $5.00 for each shirt sold.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Please do not give solution in image format thanku
![These sweatshirts would have to be ordered from the
manufacturer six weeks in advance, and they could not be
returned because of the unique printing required. The
sweatshirts would cost Hooper $18.00 each with a minimum
order of 232 sweatshirts. Any additional sweatshirts would have
to be ordered in increments of 232.
Since Hooper's plan would not require any additional facilities,
the only costs associated with the project would be the costs of
the sweatshirts and the costs of the sales commissions. The
selling price of the sweatshirts would be $36.00 each. Hooper
would pay the students a commission of $5.00 for each shirt
sold.
Required:
1. What level of unit sales and dollar sales is needed to attain
a target profit of $12,064?
2. Assume that Hooper places an initial order for 232
sweatshirts. What is his break-even point in unit sales and
dollar sales?
Note: Round your intermediate calculations, round "Break-
even point in unit sales" up to the nearest whole unit and
round "Break-even point in dollar sales" to the nearest whole
dollar.
1. How many sweatshirts would Hooper need to sell to earn a
target profit of $13,572?
Note: Round final answer up to the nearest whole unit.
1. Unit sales needed to attain the target profit
1. Dollar sales needed to attain the target profit
2. Break-even point in unit sales
2. Break-even point in dollar sales
3. Number of sweatshirts
sweatshirts
sweatshirts
sweatshirts](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcf06c006-4a3b-42c3-9134-70605fd7beff%2Faac2cd16-2d14-405d-8058-f2b005805b56%2F7elklk_processed.jpeg&w=3840&q=75)
Transcribed Image Text:These sweatshirts would have to be ordered from the
manufacturer six weeks in advance, and they could not be
returned because of the unique printing required. The
sweatshirts would cost Hooper $18.00 each with a minimum
order of 232 sweatshirts. Any additional sweatshirts would have
to be ordered in increments of 232.
Since Hooper's plan would not require any additional facilities,
the only costs associated with the project would be the costs of
the sweatshirts and the costs of the sales commissions. The
selling price of the sweatshirts would be $36.00 each. Hooper
would pay the students a commission of $5.00 for each shirt
sold.
Required:
1. What level of unit sales and dollar sales is needed to attain
a target profit of $12,064?
2. Assume that Hooper places an initial order for 232
sweatshirts. What is his break-even point in unit sales and
dollar sales?
Note: Round your intermediate calculations, round "Break-
even point in unit sales" up to the nearest whole unit and
round "Break-even point in dollar sales" to the nearest whole
dollar.
1. How many sweatshirts would Hooper need to sell to earn a
target profit of $13,572?
Note: Round final answer up to the nearest whole unit.
1. Unit sales needed to attain the target profit
1. Dollar sales needed to attain the target profit
2. Break-even point in unit sales
2. Break-even point in dollar sales
3. Number of sweatshirts
sweatshirts
sweatshirts
sweatshirts
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