Business, 18.09.2019 02:30 amoryfe28p0vpwo

Newton company currently produces and sells 4,000 units of a product that has a contribution margin of s6 per unit. the company sells the product for a sales price of $20 per unit. fixed costs are $18,000. the company is considering investing in new technology that would decrease the variable cost per unit to $8 per unit and double total fixed costs. the company expects the new technology to increase production and sales to 9,000 units of product. what sales price (per unit) would have to be charged to earm a $90,000 target profit?
a, $18
b. $8
c. $20
d. $22

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