The operating budget of the Black Monster company is given below. Sales $425000 Fixed costs $122000 Variable costs $255000 Total costs $377000 Net Income $53000 Sales dollars at capacity: $531,250. Determine the break-even point in dollars if the fixed costs are reduced by $12,100 while variables costs are changed to 68% of sales. O a. $343,437.50 O b. $344,437.50 O c. $343,437.00
The operating budget of the Black Monster company is given below. Sales $425000 Fixed costs $122000 Variable costs $255000 Total costs $377000 Net Income $53000 Sales dollars at capacity: $531,250. Determine the break-even point in dollars if the fixed costs are reduced by $12,100 while variables costs are changed to 68% of sales. O a. $343,437.50 O b. $344,437.50 O c. $343,437.00
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 9E: Contribution margin ratio Young Company budgets sales of 112,900,000, fixed costs of 25,000,000, and...
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