Sell to have after-tax net income


Bartlett Company is considering a new product, Pear. Bartlett's fixed costs are $200,000. Pear's contribution margin is $200 per unit. Bartlett has a marginal tax rate of 25%. How many units of Pear would Bartlett have to sell to have after-tax net income of $1,000,000?

a. 2,250 units

b. 4,750 units

c. 5,000 units

d. 7,667 units

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: Sell to have after-tax net income
Reference No:- TGS047630

Expected delivery within 24 Hours