Problem:
Liman Corporation has a single product whose selling price is $143 and whose variable expense is $58 per unit. The company's monthly fixed expense is $38,600.
Required:
Question 1: Using the equation method, determine for the unit sales that are required to earn a target profit of $10,700.
Question 2: Using the formula method, determine the dollar sales that are required to earn a target profit of $12,995.
Note: Explain all steps comprehensively.