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Question
The Price Company will produce 55,000 widgets next year. Variable costs will equal 40 percent of sales, while operating fixed costs will total $110,000. At what price must each widget be sold for the company to achieve an EBIT of $95,000?
a. $2.00
b. $4.45
c. $5.00
d. $5.37
e. $6.21
Answer
This answer is hidden. It contains 120 characters.
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