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st K Advanced Enterprises reports year-end information from 2019 as follows: Sales (160,250 units) Cost of goods sold Gross margin Operating expenses Operating income
st K Advanced Enterprises reports year-end information from 2019 as follows: Sales (160,250 units) Cost of goods sold Gross margin Operating expenses Operating income $969,000 (641,000) 328,000 (268,000) $60,000 Advanced is developing the 2020 budget. In 2020 the company would like to increase selling prices by 13.5%, and as a result expects a decrease in sales volume) of 10%. All other operating expenses are expected to remain constant. Assume that cost of goods sold is a variable cost and that operating expenses are a fixed cost What is budgeted cost of goods sold for 2020? OA. $705,100 B. $576,900 OC. $727,535 OD. $641,000
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