Discuss what quantity of output will it need to sell

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According to the accounting of a company, last month's income and cost are as follows:

sales: 3,000 units at $90/unit- $270,000

variable production cost- $180,000

fixed production costs- $28,800

variable selling cost-$30,000

fixed selling expenses-$1,200

1. Find the firm's breakeven output

2. If it wishes to have a monthly profit of $15,000 and its cost structure and price remains as above, what quantity of output will it need to sell?

Reference no: EM131793573

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