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Liu Sales has two store locations. Sanford has fixed costs of $285,000 per month and a contribution margin ratio of 30%. Orlando has fixed costs
Liu Sales has two store locations. Sanford has fixed costs of $285,000 per month and a contribution margin ratio of 30%. Orlando has fixed costs of $540,000 per month and a contribution margin ratio of 70%. At what sales volume would the two stores have equal profits or losses?
$637,500.
$825,000.
$1,717,500.
Cannot determine with the information given.
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