Accounting question

Buttermilk Bakery has provided the following cost data for the last year when 95,000 loaves of bread were produced and sold.

Raw materials

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Direct labor


Manufacturing overhead


Selling and administrative costs


All costs are variable except for $115,610 overhead and $81,450 selling and administrative. The sales price was $10 per loaf.

How many units must be sold to meet a target operating income of $395,356?

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