Question
Sund Corporation bases its budget on the activity measure customers served. During April, the company plans to serve 38,000 customers. The company has provided
Sund Corporation bases its budget on the activity measure " customers served." During April, the company plans to serve 38,000 customers. The company has provided the following data concerning the formulars it uses in tis budgeting.
Fixed element per month variable element per month
revenue - $2.10
wages and salaries $25,000 $0.50
supplies $0 $0.30
insurance $6,200 $0.00
miscellaneous $2,500 $0.40
Prepare the company's planning for April. What is the Net operating income?
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