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Question: Chupacabra is a donut making company. The accountant at Chupacabra developed the following cost and price estimates: Price per donut, $2; variable cost per donut $1.5; fixed costs per month of $1,000 AND a tax rate of 40%.

Chupacabra wants a profit after taxes of $1,000 per month; how many donuts must it sell?

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