How many units of its product does the company need to sell

Assignment Help Accounting Basics
Reference no: EM132521327

Question - Suppose that a company sells each unit of its product for $100. The company incurs variable product costs amounting to $30 and variable period costs amounting to $20 for each unit sold. Fixed costs at $300,000. The company desires an after tax profit of $200,000 and the company tax rate is 20%. How many units of its product does the company need to sell to achieve this income target?

Reference no: EM132521327

Questions Cloud

Primary security considerations for lan : Discussing the primary security considerations for a LAN.
Explain the project assessment methods the organization : Explain the project assessment methods the organization should have used to assess these projects (IRR, NPV, payback, and ARR). What are the advantages
Prepare the journal entry to record the acquisition of land : Prepare the journal entry to record the acquisition of land assuming that the purchase of the stock was originally recorded using the cost method
How might use decision models in decided upon business : Describe how you might use decision models in your decided upon business? What important knowledge to you need to successfully build
How many units of its product does the company need to sell : The company desires an after tax profit of $200,000 and the company tax rate is 20%. How many units of its product does the company need to sell
What is the impact on operating income : Adams Furniture receives a special order for 10 sofas for a special price of $4,200. What is the impact on operating income from accepting the special order
Define what are the tax implications of a net operating loss : Define What are the tax implications of a net operating loss? For how long can an organization carry forward a net operating loss? Why do you think is so?
What aspects of the professions you find undesirable and why : Elaborate on direct or indirect patient care aspects with the professions. What aspects of these professions you find undesirable and why?
Calculate the distance between ball a and b 2 : Ball A is thrown vertically downwards from the top of a building. 80 m high , at a velocity of 12 ms ' At the same instant a second identical ball B is thrown u

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd