Using the equation method determine for the unit sales that, Accounting Basics

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Using the equation method determine for the unit sales that

Problem

Lin Corporation has a single product whose selling price is $135 and whose variable expense is $54 per unit. The company's monthly fixed expense is $40,000.

Required:

1. Using the equation method, determine for the unit sales that are required to earn a target profit of $8,600.

2. Using the formula method, determine for the unit sales that are required to earn a target profit of $9,800.

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