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Find what dollar sales is required to attain a target profit

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Reference no: EM132581137

Bascatt Company currently distributes a product that sells for $24.00 per unit and has a contribution margin ratio of 30%. The company's fixed expenses are $118,800 per year. The company plans to sell 18,100 units this year.

Question 1: By using a new supplier, the company believes it can reduce its variable expenses by $2.40 per unit. If the company decides use the new supplier, what dollar sales is required to attain a target profit of $46,800?

Reference no: EM132581137

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