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Question - Reid Recreation Products sells the Amazing Foam Frisbee for $21. The variable cost per unit is $11; fixed costs are $37,200 per month.

What is the annual breakeven point in units? In sales dollars?

How many frisbees must Reid sell to earn $21,200 in operating income?

What operating income must Reid earn to realize net income of $16,980, assuming that the company is in the 25% tax bracket?

How many frisbees must Reid sell to earn $16,980 in net income, assuming that the company is in the 25% tax bracket?

Accounting Basics, Accounting

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