Stan Ross Company produces and sells a single product. Below is the information provided by Stan Ross Company:
Units Produced and Sold: 380,000
Sales Revenue: $2,736,000
Variable Manufacturing Expenses: $1,349,000
Fixed Manufacturing Expenses: $336,000
Variable Selling and Administrative Expenses: $399,000
Fixed Selling and Administrative Expenses: $372,000
Net Operating Income: $280,000
Question: How many units must Stan Ross Company sell if the company desires to earn a net operating income that equals 15% of sales revenue? Choose closest answer:
A) 430,154 B) 610,245 C) 885,000 D) 465,790
Please show detailed help with each step explained.