Solution:
a.
Number of units = Fixed costs /(price - unit variable cost)
= $180,000 ($15 - $10)
= $180,000 / $5
=$36,000 units
b.
Units for $20,000 = (Total fixed cost + Target profit)/(Price - Unit variable cost)
= $(180,000+$20,000)/($15 - $10)
=$200,000/$5
=40,000 units
c.
Before - tax income = After - tax income (1- tax rate)
= $30,000/(1- 0.40)
=$30,000/0.60
=$50,000
Units for $30,000 = (total fixed costs + target profit)/(price unit - unit variable costs)
= ($180,000 + $50,000)/($15 - $10)
=$230,000/$5
=46,000 units
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