Calculate no of unit that need to sold to earn pretax profit

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Reference no: EM132721144

A Company distributes a single product. The selling price is $ 70 per unit. The Company purchases the product from the supplier for $30 per unit, pays $2 per unit for shipping and incurs an additional $2 per unit in selling and administrative costs. The Company's total fixed costs are $756,000

Problem 1: Calculate

  1. Contribution Margin per unit -
  2. Number of units that need to be sold to break even - 
  3. Number of units that need to be sold to earn a Pretax profit of $180,000

Reference no: EM132721144

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