Question
Variable costs as a percentage of sales for Lemon Inc. are 69%, current sales are $631,000. and fixed costs are $203,000. How much will operating
-
Variable costs as a percentage of sales for Lemon Inc. are 69%, current sales are $631,000. and fixed costs are $203,000. How much will operating income change if sales increase by $43,600?
a.$13,516 increase
b.$13,516 decrease
c.$30,084 decrease
d.$30,084 increase
Variable costs as a percentage of sales for Lemon Inc. are 69%, current sales are $631,000. and fixed costs are $203,000. How much will operating income change if sales increase by $43,600?
a.$13,516 increase
b.$13,516 decrease
c.$30,084 decrease
d.$30,084 increase
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
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
Intermediate Accounting
Authors: J. David Spiceland, James Sepe, Mark Nelson
6th edition
978-0077400163
