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What level of annual sales volume in units of speed-ies

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Problem (a) What is Arden Inc's breakeven point in annual sales dollars?

Problem (b) Assume an income tax rate of 25% on pretax operating income, at what level of annual sales volume in units of "Speed-ies" would Arden Inc. achieve an annual aftertax profit (aka net income) of $4,000,000?

Problem (c) If Arden's 2021 sales volume is 20% higher than in 2020, then what will their pretax operating income level be in 2021?

Reference no: EM132837160

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