Assume the Following Information How Many Units Must Be Sold to Generate a Before-Tax

question 103

Multiple Choice

Assume the following information: $\begin{array} { l } \text { Selling price per unit}&\$180\\ \text { Contribution margin ratio}&\$48\%\\ \text {Total fixed costs }&\$270,000\\\end{array}$

How many units must be sold to generate a before-tax profit of $54,000?

• A)4,000 units
• B)2,750 units
• C)3,570 units
• D)3,750 units

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