Tiramisu Company Projected the Following Information for Next Year: Selling

question 117

Multiple Choice

Tiramisu Company projected the following information for next year: Selling price per unit $60.00
Contribution margin per unit $30.00
Total fixed costs $100,000
Tax rate 20%
How many units must be sold to obtain an after-tax profit of $40,000?

• A) 3,750 units
• B) 5,625 units
• C) 5,000 units
• D) 5,167 units

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Definitions:

Elephant Preservation

Efforts and activities dedicated to saving elephants from threats such as poaching and habitat destruction, aiming to ensure their survival and wellbeing.

Governments

The organization, or system of organizations, responsible for governing a community, region, or country, typically with the authority to enact and enforce laws.

Overtaxed

The condition of being subject to excessive tax rates, leading to financial burden or disincentive for economic activity and investment.

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