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Author Question: Miguel Manufacturing has fixed costs of $2,500,000 and variable costs are 40% of sales. What are the ... (Read 7 times)

lingual

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Question 1

A company requires $1,360,000 in sales to meet its operating income target. Its contribution margin is 30%, and fixed costs are $240,000. What is the target operating income?
◦ $312,000
◦ $168,000
◦ $560,000
◦ $408,000

Question 2

Miguel Manufacturing has fixed costs of $2,500,000 and variable costs are 40% of sales. What are the required sales if Miguel desires an operating income of $250,000?
◦ $4,166,667
◦ $6,250,000
◦ $6,875,000
◦ $4,583,333


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Marked as best answer by lingual on Feb 5, 2023

Khareemom14

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lingual

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Reply 2 on: Feb 5, 2023
Thanks for the timely response, appreciate it


emsimon14

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Reply 3 on: Yesterday
Gracias!

 

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