The Virginia Company has fixed costs of $100,000 per month, and variable costs of $30 per...

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The Virginia Company has fixed costs of $100,000 per month, and variable costs of $30 per...

The Virginia Company has fixed costs of $100,000 per month, and variable costs of $30 per unit of output. The sales price is $50 per unit of output. How many units would the company have to sell per month, to generate profits of $30,000 per month?

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Answer 1

Answer #1

rate posiitvely ..

	Sales price per unit =		50
Less	Variable cost per unit =	30
	contribution margin		20


	Fixed cost		100000
	required profit		30000
	Total		130000


	Number of unit required =	6500
	130000/20

	Ans =		6500	unit

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Answer 2

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Add Answer to: The Virginia Company has fixed costs of $100,000 per month, and variable costs of $30 per...

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The Virginia Company has fixed costs of $100,000 per month, and variable costs of $30 per...