Compute the dollar sales to earn target pre-tax net income

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Problem 1: Flannigan Company manufactures and sells a single product that sells for $450 per unit; variable costs are $300. Annual fixed costs are $870,000. Current sales volume is $4,200,000. Flannigan Company management targets an annual pre-tax income of $1,125,000. Compute the dollar sales to earn the target pre-tax net income.

Select one:

a. $5,640,000.
b. $5,990,990.
c. $3,378,378.
d. $2,991,004.
e. $2,612,613.

Reference no: EM132763235

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