Answer:
$8,470
Explanation:
Planned sales = 5000 units
selling price = $4
production cost= $1
Overhead = $5000
Social security = 15.3%
Revenue = units sold multiplied by the selling price
Revenue =5000 x 4
=$20,000
COGS =$5000 x 1 =$5000
Taxes =
Revenue :$20,000
Minus COGS: $5000
= Gross income: $15,000
Minus overhead: $5,000
=Net profit: $10,000
Minus taxes: $1,530( 15.3/100 x 10,000)
=NPAT: $8,470 ($10,000 -$1,530)
