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Blanchard Company manufactures a single product that sells for $140 per unit and whose total variable costs are $112 per unit. The company's annual fixed
Blanchard Company manufactures a single product that sells for $140 per unit and whose total variable costs are $112 per unit. The company's annual fixed costs are $623,000. The sales manager predicts that annual sales of the company's product will soon reach 39,300 units and its price will increase to $193 per unit. According to the production manager, variable costs are expected to increase to $133 per unit, but fixed costs will remain at $623,000. The income tax rate is 30%. What amounts of pretax and after-tax income can the company expect to earn from these predicted changes? Prepare a forecasted contribution margin income statement BLANCHARD COMPANY Forecasted Contribution Margin income Statement per unit Contribution margin Nex search
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