Please also see attached file.
Hounshell Corporation produces and sells a single product. Data concerning that product appear below:
Selling price per unit $121.00
Variable expense per unit $48.80
Fixed expense per month $268,720
Unit sales to attain target profit ___________units
b. Assume the company's monthly target profit is $7,060. Determine the dollar sales to attain that target profit. (Round your answer to the nearest dollar amount. Omit the "$" sign in your response.)
Dollar sales to attain target profit $______________© BrainMass Inc. brainmass.com June 4, 2020, 12:53 am ad1c9bdddf
Target profit is an extension of break-even analysis....you add the target profit to the fixed costs to get the level needed. Here are the two potential formulas....you need the first one for a and the second ...
Formulas are given and computed for Hounshell Corporation.