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7. the maximum that they can increase the fixed cost? Company ET 's fixed costs were $40 000, variable costs 60% of sales and profit was $22 000. If variable costs have increased by 10% (of the variable costs) and fixed costs have increased to $44 000, what sales volume does ET now need to make the same profit assuming there is no increase in selling prices?

7. the maximum that they can increase the fixed cost? Company ET 's fixed costs were $40 000, variable costs 60% of sales and profit was $22 000. If variable costs have increased by 10% (of the variable costs) and fixed costs have increased to $44 000, what sales volume does ET now need to make the same profit assuming there is no increase in selling prices?

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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7. the maximum that they can increase the fixed cost? Company ET 's fixed costs were $40 000, variable costs 60% of sales and profit was $22 000. If variable costs have increased by 10% (of the variable costs) and fixed costs have increased to $44 000, what sales volume does ET now need to make the same profit assuming there is no increase in selling prices?
Transcribed Image Text:7. the maximum that they can increase the fixed cost? Company ET 's fixed costs were $40 000, variable costs 60% of sales and profit was $22 000. If variable costs have increased by 10% (of the variable costs) and fixed costs have increased to $44 000, what sales volume does ET now need to make the same profit assuming there is no increase in selling prices?
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