Help Planet of the Grapes, Inc. makes a single product that it sells for $40 each. Variable costs are $15 per unit and annual fixed costs total $120,000 per year. The company would like to realize operatingincome next year of $90,000. What level of sales in dollars must the company achieve to reach its target profit?O A. $4,800O B. $192,000OC. $336,000O D. $8,400

The calculation of contribution margin per unit and contribution margin ratio has been made as…

Planet of the Grapes, Inc. makes a single product that it sells for $40 each. Variable costs are $15 per unit and annual fixed costs total $120,000 per yeär. The compan income next year of $90,000. What level of sales in dollars must the company achieve to reach its target profit? OA $4,800 O B. $192,000 OC. $336,000 OD. $8,400

Planet of the Grapes, Inc. makes a single product that it sells for $40 each. Variable costs are $15 per unit and annual fixed costs total $120,000 per yeär. The compan income next year of $90,000. What level of sales in dollars must the company achieve to reach its target profit? OA $4,800 O B. $192,000 OC. $336,000 OD. $8,400

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 4BE

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