Abacus Ltd manufactures calculators. Each calculator sells for £21 and has variable costs of £7.50. For the coming month fixed costs are estimated to be £54,000 and target profit is £40,000 (10% higher than existing profit).
Q1. To the nearest whole number, how many calculators must be sold to reach the target profit.
a) 2963
b) 4000
c) 6963
d) 7200 (1 mark)