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Question - Find the targeted number of sales in luxury cars for Fairly Honest Motors if the variable cost per car is $43,750, the selling price per car is $64,900 and the fixed costs are $1, 183, 800 and the company wishes to make $3,300,000 in profit. Work must be shown for credit.
If variable costs increase TO $44, 000 but the FC are decrease To $984,500, will the Really Honest Motors have to sell more, less or the same number of cars to achieve the desired profit? Show your work to prove your decision.
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