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4. Hunter & Sons sells a single model of meat smoker for use in the...

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Accounting

4. Hunter & Sons sells a single model of meat smoker for use in the home. The smokers have the following price and cost characteristics: Sales price $ 75 per smoker Variable costs 39 per smoker Fixed costs 288,000 per month Hunter & Sons is subject to an income tax rate of 40 percent. Required: a. How many smokers must Hunter & Sons sell every month to break even? b. How many smokers must Hunter & Sons sell to earn a monthly operating profit of $45,360 after taxes?

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