Sandbox Company Has a Predicted Operating Income of $34,800

question 228

Essay

Sandbox Company has a predicted operating income of $34,800. Their total variable expenses are $28,000 and their total fixed expenses are $22,800. They have a unit contribution margin of $12.
1. Calculate the required sales in units to achieve the predicted operating income.
2. Calculate the required sales in units to achieve the predicted operating income if the company's fixed expenses double.

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