Mathematics · Cost Volume Profit Analysis
A manufacturing unit produces a specialized electronic component with a selling price of 1,500 per unit. The variable cost per unit is 900. The company incurs a total fixed cost of 12,000,000 per year. For the fiscal year, the company targets a net profit of 3,000,000. Based on Cost-Volume-Profit (CVP) analysis, calculate the total number of units the company must sell to achieve this target profit.
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 130,000 units
- 215,000 units
- 325,000 units✓
- 420,000 units
Correct answer
25,000 units
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