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Number of units required to achieve income of5000000$ is A-300000 B-222223 C-230000 D-250000
Option >>>>>>>>>>>>>>>>>>> B-222223
Quantity of output units to be sold =3,000,000+5,000,000 /36,000 = 222.22
B->>>>>>>>>>>>>>>>>>>>>>>>>222223
CM=Net income + FC
CM=5000000+3000000
CM=8000000
since VC =40 % of Sales rev.
then CM =60%
then SR =100% (SR-VC40%)=CM60%
SR = CM(8000000*100/60=)
Units = SR (/SP60000 =222.22 units