Answer: 12,700 units.
Explanation:
We are to compute the number of units sold.
Let's get the important figures first,
Net Income earned = $186,200
Fixed costs =$575,800
We'd need the Contribution margin which is the difference between the sales and the variable costs.
Another way to calculate it will be to add the net income and fixed assets so,
Contribution Margin earned = $186,200 + $575,800
= $762,000
Now we need to find out the Contribution Margin per unit to divide the Contribution Margin by,
Contribution Margin per unit = Selling price per unit – variable cost per unit
= 150-90
= $60
Now we can calculate the number of units sold like,
Number of units sold = 762,000/60
= 12,700 units
12,700 units were sold in 2019
