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Adele Company has the following information Income tax rate 40 Selling price per unit 750 Variable cost per unit 250 Total fixed costs 100000 If the tax rate decreases to 30

Adele Company has the following information:
 Income tax rate                                          40%
Selling price per unit                                  $7.00 
Variable cost per unit                                 $2.50 
Total fixed costs                                         $100,000
If the tax rate decreases to 30%, _____ fewer units can be sold to retain the same net income of $42,000.
a. 32,000 units
b. 34,000 units
c. 1,000 units
d. 2,000 units

Jun 10 2021 View more View Less

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