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Liu Sales has two store locations. Sanford has fixed costs of $300,000 per month and a contribution margin ratio of 30%. Orlando has fixed costs
Liu Sales has two store locations. Sanford has fixed costs of $300,000 per month and a contribution margin ratio of 30%. Orlando has fixed costs of $600,000 per month and a contribution margin ratio of 70%. At what sales volume would the two stores have equal profits or losses?
A. 1,950,000
B. Cannot determine with the information given
C. 900,000
D. 750,000
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