Question
Selling price per unit $750 Variable cost per unit $450 Annual fixed cost $180,000 Net income after tax $360,000 Tax rate 25% 1)Reduce the selling
Selling price per unit $750
Variable cost per unit $450
Annual fixed cost $180,000
Net income after tax $360,000
Tax rate 25%
1)Reduce the selling price by $60. The sales team forecast that with a significantly reduced selling price 3,000 units can be sold in the remainder of the year. Total fixed and variable unit costs will stay as budgeted?
find desired operating income?
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Cost Accounting A Managerial Emphasis
Authors: Srikant M. Datar, Madhav V. Rajan, Charles T. Horngren, Louis Beaubien, Chris Graham
7th Canadian Edition
133138445, 978-0133926330, 133926338, 978-0133138443
