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Question - Sports R Us, a producer of sports trading cards, has asked you to complete several calculations based upon the following information:
Income tax rate 35%
Selling price per unit $7.20
Variable cost per unit $5.95
Total fixed costs $52,800
Required -
a. What is the break-even point in cards?
b. How many cards must be sold to earn an after-tax net income of $21,450?
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