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QUESTION
The firm will now be able to produce up to 23,000 pairs of either the mountaineering model or the touring model. The sales are between 17,000 and...
The firm will now be able to produce up to 23,000 pairs of either the mountaineering model or the touring model. The sales are between 17,000 and 21,000 units of either.
Model MountaineeringTouringSelling price per unit$140.00 $128.00 Variable costs per unit 83.40 83.40
Fixed costs will total $586,400 if the mountaineering model is produced but will be only $499,200 if the touring model is produced. Alpine Thrills Ski Company is subject to a 35 percent income tax rate.
- If Alpine Thrills Ski Company desires an after-tax net income of $37,120, how many pairs of touring skis will the company have to sell? (Do not round intermediate calculations. Round your final answer to the nearest whole unit.)
Number of pairs to be sold: _____________ units
