The Charleston Company has fixed costs of Birr 20,000 per month, and variable costs of Birr 15 per unit of output. The company would like to earn profits of Birr 4,000 per month. At a sales volume of 12,000 units per month, what sales price per unit would the company have to charge in order to achieve its targeted monthly profit?

The Charleston Company has fixed costs of Birr 20,000 per month, and variable costs of Birr 15 per unit of output. The company would like to earn profits of Birr 4,000 per month. At a sales volume of 12,000 units per month, what sales price per unit would the company have to charge in order to achieve its targeted monthly profit?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 6MC: If a company has fixed costs of $6.000 per month and their product that sells for $200 has a...

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