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ABC Company estimates the following data for the coming month Total variable costs $35,000.00 Income tax rate 25% Contribution margin percentage 40% Estimated monthly operating
| ABC Company estimates the following data for the coming month | |
| Total variable costs | $35,000.00 |
| Income tax rate | 25% |
| Contribution margin percentage | 40% |
| Estimated monthly operating fixed costs | $16,000.00 |
| Required minimum net income as percentage of total sales | 10% |
Find the estimated operating income for the coming month.
A. $1,500.00
B. $2,500.00
C. $4,500.00
D. $7,333.33
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