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APPLY THE CONCEPTS:
Target income (number of units sold)
Suppose a business has pricing and cost information as follows::
Selling Price per Unit$10.00
Variable Cost per Unit$2.00
Total Fixed Cost$400
Problem 1: For the upcoming period, the company wishes to generate operating income of $720. Given the cost and pricing structure for the company's product, how many units must the company sell to attain its target income?
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