Egolf glider makes gasoline-powered golf carts how many


Question - Egolf glider makes gasoline-powered golf carts. the selling price is 5000 each, and cost are as follows:

cost                                        per unit                 total

DM                                          2000                            

DL                                             625

Variable OH                              325

Variable Selling                          50

Annual fixed Production                                        250,000

annual fixed selling and admin                              120,000

Golf Glider's income is taxed at a 40% rate

a. How many golf carts must golf glider sell to earn 600,000 after tax?

b. What level of revenue is needed to yield an after-tax income equal to 20% of sales?

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