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    Generating Operating Income

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    Moon company sells product Q at $6 a unit. In 2000 fixed costs are expected to be $200,000 and variable cost are estimated at $4 a unit. How many units of Product Q must Moon sell to generate operating income of $40,000?

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    Solution Summary

    This solution determines how many units of a product a company must sale to generate a $40,000 operating income.