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Violet Sales Corp, reports the year-end information from 2020 as follows: Sales (35,500 units) $284,000 (109,000) Cost of goods sold Gross margin 175,000 Operating expenses
Violet Sales Corp, reports the year-end information from 2020 as follows: Sales (35,500 units) $284,000 (109,000) Cost of goods sold Gross margin 175,000 Operating expenses (152,000) Operating income $23,000 Violet is developing the 2020 budget. In 2020 the company would like to increase selling prices by 5.5%, and as a result expects a decrease in sales volume of 14% 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? A. $93,740 OB. $15,260 OC. $114,995 OD. $257,673
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