Carolina Products Has the Following Product Information Required: Calculate the Following Based on the Above Information:

question 84

Essay

Carolina Products has the following product information:
$\begin{array} { l l } \text { Sales price } & \$ 25.00 \text { per urit } \\\text { Variable costs } & \$ 15.00 \text { per urit } \\\text { Fixed costs (total) } & \$ 50 \text { a00 }\end{array}$
Required: Calculate the following based on the above information:
A. How many units need to be sold in arder to break even?
B. Calculate the increase in net income if an adkitional 1000 units aver the break-even paint are sold.

C. How many units need to be sold in order to ean a target profit of \$600 000? (Ignore taxes)

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Definitions:

Par Value

The face value of a bond or stock, as stated on the certificate, which is the nominal value rather than the market value.