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190.     The Sweetheart Company, a producer of specialty cards, has asked you to complete several calculations based upon the following information:

               Income tax rate      30%
               Selling price per unit      $6.60
               Variable cost per unit      $5.28
               Total fixed costs      $46,200.00

     Required:

     a.     Compute the break-even point in units.

     b.     Compute the sales volume necessary to produce an after tax net income of $13,028.40.

     c.     Compute the total units sold to earn an after tax net income of $18,480.


191.     Graybill Corporation gathered the following information:

               Variable costs      $945,000
               Income tax rate      40%
               Contribution margin ratio      25%

     Required:

     a.     Compute total fixed costs assuming a break even volume in dollars of $1,610,000.

     b.     Compute sales volume in dollars to produce an after tax net income of $210,000.

 

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