Jason rents rooms in his hotel for an average of $100 per night. The variable cost per rented room is $20. His fixed costs are $100,000 and his target profit is $20,000. For Jason, to earn his target profit, he will need to rent out ________ rooms.
A. 100
B. 1,500
C. 20,000
D. 1,000
E. it cannot be determined from the information provided
Answer: B. 1,500
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Marketing
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