Question

A company has fixed costs of $270,000, a unit contribution margin of $14, and a contribution margin ratio of 55%. If the firm wants to earn a target $60,000 pretax income, what amount of sales must the company make (rounded to the nearest whole dollar)?
A.490,909.
B.330,000.
C.109,090.
D.381,818.
E.600,000.

Answer

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