If the company desires to make a profit of $3,600, how many hours must be completed?

Accurate Accounting provides accounting services at an average price of $110 per hour and incurs
variable costs of $60 per hour. Assume average fixed costs are $7,200 a month. (Round your answer to
the nearest whole unit.)


Breakeven = (Fixed costs + Target profit) / Contribution margin per unit
Breakeven = ($7,200 + $3,600) / $50 = 216

Business

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