Use the Information Below to Answer the Following Question(s)

Use the information below to answer the following question(s) .Brian O'Neil intends to sell his customers a special round-trip airline ticket package.He is able to purchase the package from the airline carrier for $400 each.The airline intends to reimburse Brian for any unsold ticket packages.The round-trip tickets will be sold for $500 each.Brian has a tax rate of 30% on his business income.
-What is the dollar amount of sales required for Brian to earn an after-tax profit of $7,000 if fixed costs are $10,000?

A) $17,000
B) $50,000
C) $70,588
D) $85,000
E) $100,000

Correct Answer:

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