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QUESTION 3 Your business has the following estimates for the year: Sales (20,000 units) $600,000 Fixed Costs $30,000 Variable Costs $480,000 Profit $90,000 Required; NB:
QUESTION 3 Your business has the following estimates for the year: Sales (20,000 units) $600,000 Fixed Costs $30,000 Variable Costs $480,000 Profit $90,000 Required; NB: You are to round your final answers to two (2) decimal places. A Calculate the contribution margin and the contribution margin percentage B Colculate the sales break-even point for the business. C if the business has a target profit of $120,000 what sevel of sales revenue is required? D. of the business wishes to maintain the forget profit of $120,000 and also launch a marketing compaign costing 545 000 per annum, what amount of sales revenue will be required? A. Calculate the contribution margin & contribution margin% ANSWER: B. Calculate the sales break-even point for the business ANSWER: C. If the business has a desired profit target of $120,000, what level of sales is required? ANSWER: D Sales revenue to include target profit $120,000 & additional fed costs $45.000
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