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Discuss eastwood have to sell in a year to earn

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Eastwood Manufacturing produces one model of gas tank that sells for $1,250. Variable costs are $890 per unit. Fixed costs are $720,000 per year. Tax rate is 40%.

Compute the breakeven point in sales revenue for a year.

How many units would Eastwood have to sell in a year to earn a profit before taxes of $90,000?

How much would the annual sales revenue($) have to be for Eastwood to have a profit after taxes of $1,080,000?

Reference no: EM131762978

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