Question

R Connect Sleat Homewk newconnect mheducation.oom/iowcomecthml Seve & Exit Submit Homework 2 0 Seet Help Check my werk 3 Campbell Company incurs annual foxed costs of S10790 Varable costs for Campbell's product are $29 70 per unit, and the sales price is $4500 per unit. Campbell desires to ean an annual profit of $57,000 Required Use the per unit contribution margin approach to determine the sales volume in units and dollars required to earm the desired profit De not round intermediete calculations Round your final answers to the neerest whole number) 166 Skprd etoo Sales in dlars Salen volume in units 3 of 6 Next> pe here to search .20 hp 144 96 5. & 4. 7. 8. 9. R.

Answer 1

Solution:

Contribution margin per unit = $45 - $29.70 = $15.30

Sales volume in units = (fixed costs + desired profit) / contribution margin per unit

= (110790 + 57000)/ $15.30 = 10,966.66667 = 10,967 units

Sales in dollars = 10966.66667 × $45 = $493,500