Question
Pauley Company provides home health care. Pauley charges $35/hour for professional care. Variable costs are $21/hour and fixed costs are $78,000. Next year, Pauley expects
Pauley Company provides home health care. Pauley charges $35/hour for professional care. Variable costs are $21/hour and fixed costs are $78,000. Next year, Pauley expects to charge out 12,000 hours of home health care. What is the budgeted operating income?
| a. | $168,000 | |
| b. | $420,000 | |
| c. | $174,000 | |
| d. | $90,000 | |
| e. | $342,000 |
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Financial Modeling
Authors: Simon Benninga
3rd Edition
0262026287, 9780262026284
