09-11-2022
Business

Answered

Tabitha manufactures a product that sells very well. The capacity of her facility is
241,000 units per year. The fixed costs are $143,000 per year and the variable costs are
$13 per unit. The product currently sells for $20.

a. What total revenue is required for a net income of $310,000 per year?

b. if sales were at 40% of the capacity and the variable costs decreased by 25% what would be the net income per year?

Answer :

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