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K Sunny Spot Travel Agency specializes in flights between Toronto and Jamaica. It books passengers on Vancouver Air. Sunny Spot's fixed costs are $25,500
K Sunny Spot Travel Agency specializes in flights between Toronto and Jamaica. It books passengers on Vancouver Air. Sunny Spot's fixed costs are $25,500 per month. Vancouver Air charges passengers $1,300 per round-trip ticket. Read the requirement. Case 1: Sunny Spots variable costs are $44 per ticket. vancouver Air pays Sunny Spot 0% commission on ticket price. tickets to break even Sunny Spot must sell and tickets to meet the target operating income. The managerial accountant at Donuts Galore needs to compute the target operating income to determine how much would need to be sold to earn a target net income of $900, assuming a 40% tax rate. To earn a target net income of $900, what is the target operating income?
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