A firm operated at 80% of capacity for the past year, during which fixed costs were $201,000, variable costs were 61% of sales, and sales were $1,085,000. Operating profit was Oa. $661,850 Ob. $222,150 O. $177,720 Od. $423,150

A firm operated at 80% of capacity for the past year, during which fixed costs were $201,000, variable costs were 61% of sales, and sales were $1,085,000. Operating profit was Oa. $661,850 Ob. $222,150 O. $177,720 Od. $423,150

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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Question

A firm operated at 80% of capacity for the past year, during which fixed costs were $201,000, variable costs were 61% of sales, and sales were $1,085,000. Operating profit
was
Oa. $661,850
Ob. $222,150
Oc. $177,720
Od. $423,150

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