Carlson Inc. manufactures baby cribs and currently has fixed costs of $50,000 and a sales price per unit of $315. Carlson"s major raw materials supplier announced it will be increasing its prices, therefore Carlson is expecting the variable costs of its baby cribs to increase from $90 to $115. Carlson is going to hold the line on the selling price of its cribs but plans to cut fixed costs by $5,000. If Carlson currently has monthly net income of $40,000 on sales of 400 cribs, what increase in units sold will Carlson need to maintain the same level of income? 10 15 25 35
Lion Essays is a licensed Academic Writing Service created to offer academic help to students from all parts of the world. We strive to be the best at what we do by combining convenient academic help with affordable pricing to allow all students to subscribe to our outstanding services.