Up in Smoke Company, a Producer of Salsa, Has the Following

question 96

Multiple Choice

Up In Smoke Company, a producer of salsa, has the following information: $\begin{array}{ll}\text { Income tax rate } & 30 \% \\\text { Selling price p er unit } & \$ 5.00 \\\text { Variable cost per unit } & \$ 3.00 \\\text { Total fixed costs } & \$ 90,000.00\end{array}$ must be sold to obtain a targeted income before taxes of $30,000.

• A) 27,000 units
• B) 60,000 units
• C) 45,000 units
• D) 10,000 units

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