Question
In 2014, X Company had revenue of $186,000 and incurred the following costs: Direct materials $37,200 Direct labor [all variable] 18,600 Variable overhead 33,480 Fixed
In 2014, X Company had revenue of $186,000 and incurred the following costs:
| Direct materials | $37,200 | ||
| Direct labor [all variable] | 18,600 | ||
| Variable overhead | 33,480 | ||
| Fixed overhead | 17,800 | ||
| Variable selling and administration | 9,300 | ||
| Fixed selling and administration | 19,500 | ||
If revenue and cost relationships are not expected to change in 2015, what must revenue be in order for X Company to earn $90,000?
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The Customer Satisfaction Audit
Authors: Abram I Bluestein, Michael Moriarty, Ronald J Sanderson
1st Edition
190243398X, 978-1902433981
