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Last year, Flynn Company reported a profit of $70,000 when sales totaled $520,000 and the contribution margin ratio was 40%. Assume that the fixed expenses
Last year, Flynn Company reported a profit of $70,000 when sales totaled $520,000 and the contribution margin ratio was 40%. Assume that the fixed expenses will increase by $10,000 next year 34. Required: Compute the amount of sales that will be necessary in order for the company to earn a profit of $80,000. Show your work if you want partial credit. Total points: 12
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