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    C-V-P analysis

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    The following information pertains to Berry Company:

    Selling price per unit $50
    Variable costs per unit $30
    Total fixed costs $100,000

    What level of sales dollars is needed to obtain a target pretax profit of $20,000?

    Could someone please show me a step by step solution to this practice problem?

    © BrainMass Inc. brainmass.com June 3, 2020, 10:34 pm ad1c9bdddf
    https://brainmass.com/business/accounting/conducting-cvp-analysis-238289

    Solution Preview

    Hi,
    Please see the response to your posting as below:

    Contribution margin ...

    Solution Summary

    Solution shows calculations level of sales dollars is needed to obtain a target pretax profit of $20,000.

    $2.19

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