How many units must be sold to yield targeted income

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The Dolphin Hotel sells their famous hotel soap. Information on cost per unit is as follows:

Direct materials $6.00

Direct labor 9.00

Variable overhead 4.00

Variable marketing expense 5.00

Fixed marketing expense totaled $23,000 and fixed administrative expense totaled $39,000. The price per bar of soap is $46.

Problem 1: How many units must be sold to yield targeted income of $70,000?

A. 4,259

B. 4,889

C. 6,000

D. 8,000

Reference no: EM132856471

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