The Following Information Is for Kinsner Corporation If Management Has a Targeted Net Income of $46,200 Ignore

question 110

Multiple Choice

The following information is for Kinsner Corporation: $\begin{array}{lr}\text { Total fixed costs } & \$ 313,500 \\\text { Variable costs per unit } & \$ 99 \\\text { Selling price per unit } & \$ 154\end{array}$ If management has a targeted net income of $46,200 ignore income taxes) , then the number of units that must be sold is _____.

• A)2,036 units
• B)2,336 units
• C)5,700 units
• D)6,540 units

---

Definitions:

F.O.B. New York

A shipping term indicating that the seller must deliver goods on board a vessel at the port of New York, with the buyer being responsible for freight and insurance.

Risk of Loss

The exposure to potential financial loss in a transaction, often determining who bears the responsibility if goods are damaged or lost.

Carrier

An entity or company that undertakes to transport goods or people for a fee, such as a shipping line, airline, or telecommunications provider.

Shipment Contract

A contract that specifies the seller's responsibility is fulfilled once goods are handed over for transportation, shifting risk to the buyer.