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Cargo Corporation sells its cargo carriers for $600 each. Its variable cost is $200 per carrier. Fixed costs are $23,000 per month for volumes
Cargo Corporation sells its cargo carriers for $600 each. Its variable cost is $200 per carrier. Fixed costs are $23,000 per month for volumes up to 1000 carriers. Above 1000 carriers, monthly fixed costs are $59,000. What is the budgeted operating income at a level of 800 carriers per month? A) $261,000 B) $297,000 C) $320,000 D) $457,000
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