Buttermilk Bakery has provided the following cost data for the last year when 5,000 Danish pastries were produced and sold. 
Required:
a.How many units would the company need to sell to earn $3,000 in operating income?
b.How many units would the company need to sell to earn $1,000 in net income if the tax rate is 20%?
Definitions:
Additional Information
Information or data provided that supplements or clarifies existing material.
Without Additional Information
A phrase indicating that no further data or specifics are provided beyond what has been already given.
EVSI
Expected Value of Sample Information, a concept in decision theory that quantifies the value of gathering additional information before making a decision.
Posterior Probabilities
The probabilities of possible outcomes updated on the basis of new evidence or information.
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