Company targets and annual after-tax income

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Seton Company manufactures a single product that sells for $360 per unit and whose total variable costs are $270 per unit. The company targets an annual after-tax income of $1,620,000. The company is subject to a 20% income tax rate. Assume that fixed costs remain at $1,125,000. Compute the (1) unit sales to earn the target after-tax net income and (2) dollar sales to earn the target after-tax net income.

Reference no: EM13138548

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