How many units must be sold to earn net income

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Question - A company desires to sell a sufficient quantity of products to earn a profit of $400,000. If the unit sales price is $20, unit variable cost is $12, and total fixed costs are $800,000, how many units must be sold to earn net income of $400,000?

a. 225,000 units

b. 150,000 units

c. 120,000 units

d. 90,000 units

Reference no: EM132791311

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