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Health Care Finance: Basic Tools For Nonfinancial Managers, Fifth Edition Judith J. Baker, R.W. Baker, and Neil R. Dworkin Assignment Exercise 18-3 Assignment Exercise 183:

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Health Care Finance: Basic Tools For Nonfinancial Managers, Fifth Edition Judith J. Baker, R.W. Baker, and Neil R. Dworkin Assignment Exercise 18-3 Assignment Exercise 183: Target Operating Income Acme Medical Supply Company desires a target operating income amount of $100,000, with assumption inputs as follows: Desired (target) operating income amount = $100,000 Unit price for sales = $80 Variable cost per unit = $60 Total fixed cost = $60,000 Compute the required revenue to achieve the target operating income and compute a con- tribution income statement to prove the totals

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