Q12. PDQ has an expected sales volume of $1,000,000 with a variable cost ratio of 55%, and fixed costs of $200,000. What sales volume would
Q12. PDQ has an expected sales volume of $1,000,000 with a variable cost ratio of 55%, and fixed
costs of $200,000. What sales volume would be necessary to achieve a $100,000 after-tax
profit when income taxes average 40%?
a. $370,370
b. $666,667
c. $814,815
d. $818,182
e. $1,000,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Authors: David M. Shapiro
1st Edition
194999158X, 9781949991581
