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Kelvin Co. produces and sells socks. Variable costs are budgeted at $4 per pair, and fixed costs for the year are expected to total $90,000.
Kelvin Co. produces and sells socks. Variable costs are budgeted at $4 per pair, and fixed costs for the year are expected to total $90,000. The selling price is expected to be $6 per pair. The sales dollars required to make an after-tax profit (A) for Kelvin Co. of $15,000, given an income tax rate of 40%, are calculated to be:
Multiple Choice $345,000. $360,000. $336,000. $339,000. $342,000.
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