Nonesuch Company Sells Only One Product at a Regular Price

question 104

Multiple Choice

Nonesuch Company sells only one product at a regular price of $7.50 per unit. Variable expenses are 60 percent of sales and fixed expenses are $30,000. Management has decided to decrease the selling price to $6.00 in hopes of increasing its volume of sales. What sales dollar level is needed to obtain a before-tax profit of $60,000 when the selling price is $6.00 per unit?

• A) $90,000
• B)$120,00
• C)$72,000
• D)$360,000

---

Definitions:

Academic Items

Materials or components that are part of an educational curriculum or scholarly work.

Business Items

Various aspects or objects that are relevant to conducting business, such as documents, plans, or tools.

Appointment Area

A designated section within applications such as digital calendars where users can create, edit, and view upcoming meetings or events.

View Options

Settings that allow users to change how information is displayed on the screen, often found in software applications and operating systems.